Norwegian Air Shuttle intends to sell its Argentine subsidiary Norwegian Air Argentina to JetSMART Airlines, as it struggles to resolve its financial situation.

The South American ULCC is taking over 100% shares of Norwegian Air Argentina and assuming its operations from now. The change of ownership will not impact the Argentinian airline’s passengers, the Norwegian airline has stated.

The integration of the two South American airlines is expected to take several months, during which Norwegian Air Argentina’s Boeing fleet will be replaced by Airbus aircraft. Norwegian will take three Boeing 737s back to Europe, while their place will be taken by JetSMART’s Airbus A320s. The airline’s brand name will also change.

Norwegian Air Shuttle is working on a strategic transformation, which is focused on bringing the carrier from “growth to profitability.” In the past few months the airline has sold off several of its aircraft, company shares and routes.

Rumours that the airline would stop its operations began when it was discovered Norwegian Air Argentina only displayed flights until March 28, 2020, on its system.