Norse Atlantic ASA has announced the early conclusion of its aircraft, crew, maintenance and insurance (ACMI) agreement with IndiGo, with the partnership set to end on 1 November 2026, as both airlines respond to ongoing geopolitical and operational challenges impacting long-haul services between India and Europe.
The decision follows IndiGo’s earlier notification to return one aircraft at the end of August after discontinuing its Manchester route. Following further discussions, the two carriers mutually agreed to terminate the remaining ACMI arrangement, resulting in the return of five additional aircraft to Norse Atlantic.
Norse Atlantic said the move reflects the commercial pressures created by elevated fuel prices, restricted airspace and longer flight paths caused by the conflict in the Middle East, which have reduced the viability of the agreement for both operators.
“We are grateful for the strong cooperation we have had with IndiGo over the past eighteen months. It has been a valuable experience for Norse Atlantic,” said Eivind Roald, CEO of Norse Atlantic. “However, there is no doubt that the elevated fuel prices, airspace disruptions and longer flight routes resulting from the Middle East conflict have affected the commercial viability of the arrangement for both parties. We have therefore jointly concluded that alternative deployment of the aircraft will be more commercially beneficial to both parties.”
Abhijit Dasgupta, Senior Vice President – Planning & Revenue Management at IndiGo, thanked Norse Atlantic for its collaboration, saying, “We extend our appreciation to Norse Atlantic Airways for its valued partnership and professional services, and to our customers, employees and partners whose trust, commitment and support have been central to this journey.”
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The return of the six Boeing 787 aircraft will provide Norse Atlantic with additional fleet flexibility. The airline said it is already in discussions with several carriers regarding new ACMI opportunities for up to five aircraft and expects to provide further updates in due course.
In addition to potential ACMI placements, the company plans to deploy part of the returning capacity across its own network during the upcoming winter season. Planned additions include increased frequencies on profitable transatlantic routes between Europe and destinations such as Orlando and New York.
Norse Atlantic also announced progress in its ongoing strategic review. Citing significant interest from potential partners, the company’s board has decided to initiate a formal process that could result in a sale, merger or strategic partnership.
“The return of these six aircraft opens up strategic opportunities that were not available to us before,” Roald said. “We are seeing strong demand for modern, fuel-efficient long-haul aircraft, and we also see attractive opportunities to deploy additional capacity within our own network. Our priority is to use this increased flexibility to improve profitability and create long-term value for our shareholders.”
