Norwegian Air shares plummet 23% to a 15-year low as coronavirus outbreak hits struggling airlines
Shares in Norwegian Air crashed by more than a quarter to a 15-year low as the coronavirus outbreak pushes struggling airlines to the brink.
Europe’s third largest budget airline has come under intense pressure as bookings have slumped and flights have been cancelled.
Analysts believe the carrier may have to go cap in hand to shareholders for the fourth time in two years to raise fresh equity.
Shares hit: Norwegian Air, Europe’s third largest budget airline, has come under intense pressure as bookings have slumped and flights been cancelled
Shares fell 22 per cent yesterday, taking losses in the past two weeks to 66 per cent.
Russ Mould, investment director of AJ Bell said airlines have ‘taken a fearsome battering’, adding: ‘This feels like the bad old days, when airlines used to go bust at the drop of the hat.’
Analysts predict a big loss this quarter, pushing the airline close to breaching its lending agreements with banks.