Calgary-based WestJet plans to launch an ultra-low-cost carrier by the end of the year.
The airline said it is still waiting for regulatory approval, but will roll out the service with 10 Boeing 737-800 planes.
WestJet promises the “no-frills” option will mean more choice for air travellers.
“Our new airline will provide Canadians with a pro-competitive, cheap and cheerful flying experience,” WestJet President and CEO Gregg Saretsky said in a statement.
There are no details yet on what destinations the service will be flying to.