Flair Airlines (F8, Kelowna) has announced it has acquired low-cost, virtual carrier NewLeaf (Winnipeg International) for an undisclosed sum. The Canadian passenger charter operator, which has been supplying NewLeaf with capacity for its scheduled flights, said in a statement the move would allow it to enter Canada's budget market niche.

“As with all important business decisions, we will work closely with our partners, employees, and customers to make the integration process as smooth as possible,” Jim Rogers, the President and CEO of Flair Airlines, said. “This acquisition will build on the strengths of both companies and now we are truly committed to providing the lowest possible fares as Canada’s newest national airline.”

NewLeaf's network will also be expanded beyond the current Abbotsford, Hamilton, ON, Winnipeg International, Halifax, and Edmonton International.

Flair Airlines' entry into the LCC market comes at a time when Canada is preparing for the entry of Canada Jetlines as well as WestJet's own untitled ULCC project, now due in early 2018. Enerjet, which, alongside Jetlines, was granted foreign ownership cap exemption by Ottawa last year, is also a potential player having been courted by ULCC specialists, Indigo Partners. The status of its plans are, however, currently unknown.