COPENHAGEN (Reuters) – Shares in SAS tumbled 95% at market open on Wednesday after the Scandinavian airline announced new big shareholders late on Tuesday in a restructuring that will see the group delisted from bourses and existing ownership stakes erased. SAS said U.S. investment firm Castlelake and Air France-KLM would become new major shareholders in […]
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SAS stock dives 95% as restructuring announced
COPENHAGEN (Reuters) – Shares in SAS tumbled 95% at market open on Wednesday after the Scandinavian airline announced new big shareholders late on Tuesday in a restructuring that will see the group delisted from bourses and existing ownership stakes erased.
SAS said U.S. investment firm Castlelake and Air France-KLM would become new major shareholders in the airline alongside the Danish state following bankruptcy proceedings.
Scandinavia’s biggest carrier filed for bankruptcy protection in the United States in mid-2022 after years of struggling with high costs coupled with low customer demand brought on by the pandemic.
Castlelake will take a stake of about 32%, Air France-KLM will own around 20%, Lind Invest 8.6% and the Danish state will hold about 26%, SAS said.
The remaining equity will likely be distributed among creditors, the airline said.
SAS shares, which already tumbled in recent years traded down 79% at 0742 GMT to 0.06 Swedish crowns ($0.0054).
($1 = 11.0853 Swedish crowns)
(Reporting by Louise Breusch Rasmussen in Copenhagen, Anna Ringstrom in Stockholm, editing by Terje Solsvik)