Blue Lagoon increases stake in three Icelandic geothermal bath companies

Blue Lagoon hf. has announced an agreement to increase its ownership in Norðurböðum ehf., which holds stakes in the Mývatn Nature Baths and the Húsavík GeoSea baths. Norðurböðum ehf. also has an interest in Vök Baths in Egilsstaðir, with the core business of these entities being the operation of geothermal baths.

Sigríður Margrét Oddsdóttir, CEO of Blue Lagoon, stated that the company has been investing in various destinations across Iceland. She highlighted that the development of geothermal baths has been a significant growth driver for the tourism sector since Blue Lagoon's inception, emphasizing the unique appeal of Iceland as a destination. The three bath locations share distinct stories and align with Blue Lagoon's focus on quality leisure and wellness offerings, fitting well with the company's brand.

This transaction, intended to bolster Blue Lagoon's foundational operations across diverse Icelandic locations and enhance its risk diversification, is pending approval from Blue Lagoon's shareholders and the Competition Authority. If approved, Blue Lagoon hf. will secure a majority stake in Norðurböðum ehf., adding to its previously secured majority share in Fontana Baths in Laugarvatn.

Furthermore, Blue Lagoon is currently preparing for a listing on the Icelandic stock market, with Landsbankinn and Fossar Investment Bank overseeing the offering.

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The development of geothermal baths in Iceland has been one of the main growth engines of tourism ever since the establishment of the Blue Lagoon and a clear distinction of the country as a destination. The Blue Lagoon has invested in individual destinations across the country and the three locations all have in common that they have their own story to tell. At the same time, they reflect the high quality of entertainment and well-being that the Blue Lagoon has emphasized and therefore fit well with the company's brand.