Bonheur ASA and Ganger Rolf ASA to sell Sterling airline

Airline Industry Information, March 14, 2005

AIRLINE INDUSTRY INFORMATION-(C)1997-2005 M2 COMMUNICATIONS LTD

The Norwegian shipping company Bonheur ASA said on Monday (14 March) that it had, together with its sister shipping line Ganger Rolf ASA, signed a principle agreement with the Icelandic investment company Fons Eignarhaldsfelag (Fons) on the sale of budget airline Sterling.

Both Bonheur and Ganger Rolf hold a 50% stake in Sterling.

The purchase price was valued at DKK400m, of which DKK300m is due for payment upon closing. The remaining DKK100m would fall due after three years.

Completion of the transaction, which is expected during April, is subject to due diligence and a final share purchase agreement.

Fons is controlled by two investors, Palmi Haraldsson and Johannes Kristinsson, current owners of the low-fare airline Iceland Express.

"I believe that the change of ownership will result in a further vitalizing and consolidation as Iceland Express will be merged into Sterling," said Harald Andresen, the present CEO of Sterling.

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