Icelandair Group has announced plans to buy rival budget airline WOW air for about $18 million, the company announced Monday .
WOW air was previously a competitor to Icelandair as it boasted flights as low as $99, making it an attractive option for budget travelers.
The two flight carriers will continue to operate under their different brand names.
"WOW air has in recent years built a strong brand and enjoyed great success in the company‘s markets to and from Iceland and across the Atlantic," said Bogi Nils Bogason, the interim president and CEO of Icelandair Group. "There are many opportunities for synergies with the two companies but they will continue to operate under their own brands and operating approvals. The tourism industry is one of the cornerstones of the Icelandic economy and it is important that flights to and from Iceland will remain frequent.
WOW air currently offers a number of U.S. flights to Iceland. The following U.S. airports offer WOW air flights:
Dallas/Fort Worth DFW
Los Angeles LAX
New York EWR
New York JFK
San Francisco SFO
St Louis STL
Washington, D.C./Baltimore BWI