Norwegian Air appears primed to receive a lifeline from the Norwegian government after completing a share sale and winning backing from bondholders for a refinancing.

The discount transatlantic carrier should now be able to tap into 2.7 billion Norwegian kroners ($270 million) that was contingent upon increasing the portion of the company’s assets that are held as equity from just under 5% to 8%. 

Norwegian anticipates the new state aid, which adds to the $30 million the carrier already received from Norway, will provide it with sufficient liquidity to last through this year. 

The carrier plans to be inactive until next spring, followed by a summer 2021 ramp-up. Full operations are not expected to resume until 2022. 

Norwegian is currently flying just seven aircraft and fleet capacity has been reduced by 95%.

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