Iceland Observer: Capital Raises, Travel Records, and Nordic Market Performance

Iceland Observer
Jan 6
2 min read

MarketVector™ Iceland Global Index (MVISLG) Returns:

1W: (1.08)% 1M: 1.89% 1Y: 7.57% Inception 12/31/20: 41.26%

December Nordic Market Performance

GLCR Iceland +5.71%

VGK FTSE Europe +2.55%

EWD Sweden +2.76%

EDEN Denmark +2.95%

NORW Norway (Broad) +3.86%

ENOR Norway (Large Cap) +4.42%

EFNL Finland +5.04%

M&A / PE / VC

Síminn Acquires GMÍ

Síminn agreed to acquire payments and collections firm Greiðslumiðlun Íslands in a transaction valuing the company at ISK 3.5 billion. The deal expands Síminn’s presence in financial services infrastructure and is subject to regulatory approval.

Alvotech Secures New Financing

Alvotech raised €100 million through a senior term loan following a recent convertible bond issuance. The financing strengthens liquidity ahead of multiple biosimilar launches through 2026.

SUND NYC On-Site

SUND is hosting an investor on-site event in New York City at the coming flagship location in Brooklyn. This will be a small, focused gathering designed for conversation and connection. View Event

Corporate & Market News

Alvotech Announces CEO Transition

Founder Róbert Wessman will step down as CEO in early 2026, remaining Executive Chairman. Lisa Graver will assume the CEO role as the company enters its next growth phase.

Icelandair Sets Passenger Record

Icelandair carried a record 5.1 million passengers in 2025, up 8% year over year. December set a new record, pointing to consistent travel demand beyond peak season.

Velfag Shuts Down

Seafood equipment manufacturer Velfag ceased operations after its accounts were frozen during a sanctions related ownership dispute, leaving the company unable to operate.

Policy & Central Bank

Mileage Based Road Tax Introduced

Iceland implemented a per kilometer road tax beginning January 1, moving road funding away from fuel taxes as more vehicles go electric.

Economic Indicators

Inflation Rebounds

Consumer inflation rose to 4.5% in December from 3.7% in November, the highest level in 11 months. The increase came mainly from higher travel, utility, and airfare costs. Average inflation for 2025 still fell to 4.1% from 5.9% in 2024.

Unemployment Diverges

A labor force survey showed unemployment at 6.5% in November, well above last year and higher than registered figures.