Icelandair Group issued a statement saying it plans to delay the approval to acquire rival WOW air as certain conditions outlined in the share purchase agreement are unlikey to be fulfilled by the time the shareholder's meeting occurs on 30 November 2018.

Icelandair will continue to work on the transaction and the parties are continuing dialogue on next steps.

Earlier this month, the Group had entered into a share purchase agreement to purchase all shares in WOW air for US$18 million. The shareholders of WOW air will receive the equivalent of 5.4% of Icelandair Groupā€˜s shares after the transaction.

The companies will continue to operate under separate brands following the planned transaction.