
US private equity firm Apollo is considering taking a majority stake in struggling airline SAS, sources told Reuters. Danish newspaper Berlingske has also previously reported similar information.
Apollo Global Management has supported SAS with bridge financing during the airline's ongoing restructuring process. Now the American venture capital firm is reportedly considering taking a majority stake in SAS, Reuters reports, citing sources.
According to the news agency, Apollo is in contact with authorities in both Denmark and Sweden regarding a possible deal. Neither Apollo nor SAS have commented on the information.
Already last month wrote the Danish newspaper Berlingske that Apollo wants to increase its ownership in SAS to as much as 70 percent while the Danish state will own the remaining 30 percent. The newspaper has reportedly spoken to sources who also said that plans for a delisting of the airline are very close and that SAS will probably not be listed on the stock exchange this fall.
The idea was that Apollo would lend the equivalent of SEK 7 billion to SAS. SAS used the first part of the loan in September last year, but due to stronger than expected development paused the company last month, discussions with Apollo regarding the second tranche of the emergency loan during the second quarter of the company's broken fiscal year.
SAS hopes to get 9.5 billion in new capital within the framework of the ongoing restructuring process. In the event that the new share issue is closed, SAS's existing shareholders will in principle have no ownership in the company. Last month, the company suffered a setback in the US bankruptcy court when the judge rejected the plan to bring in new capital through new investors.
SAS shares jumped after Wednesday's announcement. At 11 a.m., the stock was up 14 percent, but the result since the turn of the year remains minus 30 percent.
Source: DI.SE








