Scandinavian airline SAS has emerged from the shadows of U.S. Chapter 11 bankruptcy proceedings. This pivotal moment is being hailed as the beginning of a “new era” for SAS. The European Commission recently gave the green light to the carrier’s restructuring plan, which involves Air France-KLM acquiring a 19.9% stake in SAS. Additionally, SAS is set to join the SkyTeam airline alliance on Sept. 1. These strategic moves signify a significant turnaround for the airline.
Over the past two years, SAS has been diligently working on its recovery. The airline successfully restructured over $2 billion of debt, made adjustments to its aircraft fleet, and solidified agreements with stakeholders, creditors, and vendors. The exit financing transaction was a critical step in this process, with a total investment of $1.2 billion being injected into the restructured SAS. This investment consisted of $475 million in new unlisted equity and $725 million in secured convertible debt. Such financial backing has laid a strong foundation for SAS’s revival.
Anko van der Werff, the CEO and president of SAS, expressed his enthusiasm for the airline’s future. He described the exit from bankruptcy as a “historic day” that marks the beginning of an exciting new chapter for SAS’s customers, partners, and employees. With the restructuring proceedings successfully completed, SAS is now poised to step into a new era of growth and innovation.
As SAS sets its sights on a brighter future, there are high hopes for the airline’s continued success. The strategic partnerships with Air France-KLM and the SkyTeam alliance provide SAS with a solid framework for expansion and improved operational efficiency. With a restructured financial outlook and a clear vision for the future, SAS is ready to soar to greater heights in the aviation industry.