mynth
08/2025Minority

Icelandair invests in Fly Play

MALTA Transport & Logistics / Passenger Transport / Airlines REV $250–500M

Context

In August 2025 Icelandair has completed the acquisition a 49 % equity interest in Fly Play Europe Holdco, the parent entity that controls the Maltese air operator’s certificate previously associated with the former Play airline. The acquisition follows a letter of intent disclosed in April and reflects the regulatory backdrop in which Play’s lenders assumed control of the Maltese certificate after the Icelandic carrier’s insolvency. By securing this stake, Icelandair gains direct access to an additional European AOC, thereby augmenting its regulatory portfolio within the EU aviation framework. From a strategic standpoint, Icelandair articulates the purchase as a growth‑oriented external integration designed to enhance operational flexibility and to decouple its scheduled services, which remain under the Icelandic certificate, from charter activities that can be conducted under the Maltese regime. The Maltese certificate confers broader air services agreements and more favorable double‑taxation conventions, which Icelandair expects to exploit in order to diversify revenue streams, optimise charter profitability, and position the group for future network expansion. The transaction also includes a shareholders’ agreement and an option for Icelandair to increase its ownership proportion, underscoring a long‑term commitment to the integration logic. Operationally, the integration is projected to clarify fleet management by allocating charter aircraft to the Maltese AOC while preserving scheduled operations under the Icelandic licence. This structural separation is anticipated to generate efficiency gains, improve slot utilisation, and facilitate entry into new commercial opportunities across Europe and beyond. While the immediate impact on the group’s financial metrics is described as immaterial, the acquisition is expected to deliver substantive strategic value by reinforcing competitiveness, expanding market access, and providing a scalable platform for subsequent growth initiatives.

Fly Play, which reported an EBITDA margin of [members only] in 2024, is valued in this transaction at an EV/EBITDA multiple of [members only].

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Target

Fly Play Europe Limited operates an air transport business under a Maltese air operator’s certificate, providing scheduled and charter passenger services across the North Atlantic and European markets. The company leverages the regulatory framework of Malta to separate its charter activities from its regular Iceland‑registered operations, thereby enhancing operational flexibility and simplifying fleet management. Its service portfolio includes low‑cost scheduled flights between Reykjavik and key European gateways, supplemented by ad‑hoc charter contracts serving tour operators and corporate clients. The corporate structure, established following the restructuring of the former Play airline, positions Fly Play within a vertically integrated model that aligns route planning, aircraft utilisation, and regulatory compliance. Geographically, the airline maintains a strategic footprint that encompasses Iceland, the United Kingdom (notably London Stansted and Liverpool), and broader European destinations, while the Maltese certificate facilitates access to a wider network of bilateral air service agreements. Fly Play’s value proposition centres on cost‑efficient capacity deployment, market‑responsive scheduling, and the ability to tap into ancillary revenue streams through charter operations.

Ent. Value

[members only]

Equity Value

[members only]

Multiples

EV / Revenue

[members only]

EV / EBITDA

[members only]

EV / EBIT

[members only]

Historical Financials (USD)

Year
Rev
EBITDA
EBIT
2024
$250–500M
$5–25M
$0–5M
2023
$250–500M
$5–25M
$0–5M

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REFERENCES

Revenue range: REV $250–500M

EBITDA range: $5–25M

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of Fly Play by Icelandair are reserved for mynth community members. Register for free to unlock full data.

Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Target: fly play

FAQ

What transaction does this page cover?

This page covers the acquisition of a minority stake in Fly Play, a Maltese company specialised in Passenger Transport, by Icelandair in 2025.

What were Fly Play’s revenue and EBITDA at the time of the deal?

At the time of the transaction, Fly Play generated annual revenue estimated in the $250–500M range and EBITDA in the $5–25M bracket (FY 2024). Detailed financial figures are available to members.

What sources support the information on this transaction?

Transaction data and operational intelligence were compiled from independent financial press reporting by specialized M&A publications.

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