Icelandic budget airline WOW Air says it has ceased operations, stranding passengers across two continents.

According to the airlines, it needs to raise more money before it can get back up and running again.

The airlines says it's in the final stages of raising more money from a group of investors.

Until then, they have postponed all flights.

There is at least one flight leaving out of Newark Liberty International Airport tonight.

Passengers are being advised to check flights with other airlines.

The airline, founded by entrepreneur Skuli Mogensen, began operations in 2012 and expanded quickly.

It specialized in ultra-cheap flights between North America and Europe, with flights from 27 airports, including Washington, D.C, New York, Paris, London and its Reykjavik hub.