Norwegian Air 'flattered' by IAG interest, undecided on talks

Norwegian Air is flattered by BA-owner IAG’s interest in making an offer for the budget airline, but has not decided whether to agree to formal talks, founder and biggest shareholder Bjoern Kjos said Friday. IAG, the owner of BA, Iberia, Aer Lingus and other airlines, said on Thursday it had bought a 4.6 percent stake in Norwegian and intended to initiate discussions, including on a possible offer, sending Norwegian Air’s shares up sharply. Kjos, who is also Norwegian’s CEO, controls about a quarter of the company’s shares and said he had not yet considered selling his stake. “Seen from the outside, IAG is a professional company, best in class,” Kjos told reporters at Norwegian Air’s headquarters. “We’re flattered by the interest.” While Norwegian’s shares rose some 50% following IAG’s announcement, hitting a 15-month high, Kjos said the current level still did not reflect the company’s underlying value and business potential. “I’ve not even thought of selling ... what’s interested me is to run the company, I’ve not thought about shares or a sale,” he added. Other airlines had also expressed an interest in Norwegian over the years, the CEO said, although they had not bought stakes and he declined to name them.<br/>