April 12, 2024
SAS AIRWAYS

Air France-KLM Makes Strategic Move, Invests in SAS as Part of Revamp/Credit :Photo:unsplash.com/@bdp028

In a surprising turn of events, Air France-KLM has entered the picture to aid SAS in its ongoing Chapter 11 journey towards revitalization. This strategic investment marks a significant milestone for SAS, with the potential to reshape its future.

As part of its bid to reorganize and emerge stronger, Air France-KLM will secure a one-fifth stake in SAS, a move that has left industry analysts and enthusiasts intrigued. 

 

What’s more, this development will see SAS bid farewell to its long-standing Star Alliance membership and welcome a new chapter in the SkyTeam alliance, alongside Air France-KLM.

 

Pending regulatory approval, the transformed SAS will witness Castlelake Investment Fund claiming the largest ownership share at 32%, followed by the Danish Government at 25.8%. Air France-KLM will secure a substantial 19.9% stake, with Lind Invest rounding out the ownership structure at 8.6%.

 

Having filed for Chapter 11 bankruptcy protection in 2022, SAS has been diligently working to secure funding, streamline operations, and reorganize its vital components. Air France-KLM’s investment represents a pivotal element of SAS’s ongoing SAS Forward Plan, aimed at achieving ambitious turnaround goals for the airline.

 

This strategic move between Air France-KLM and SAS underscores the dynamic nature of the aviation industry and the determination of both airlines to navigate challenges and emerge stronger in the ever-evolving market.

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