Air France-KLM (LON:0LN7) Group has finalized the acquisition of a 19.9% non-controlling interest in SAS AB, following the receipt of regulatory approvals in Europe and the United States.
The investment is part of the Group's strategic expansion into the Scandinavian market and is aligned with its financial plans for 2024.
The transaction, which has been in the works as part of a consortium that includes Castlelake L.P., Lind Invest ApS, and the Danish State, has resulted in the consortium holding a total of 86.4% of SAS AB.
The Air France-KLM Group's contribution to this investment totals $144.5 million, split between common shares and senior secured convertible notes.
Benjamin Smith, CEO of the Air France-KLM Group, expressed satisfaction with the strategic transaction, emphasizing the benefits for customers through a greater number of destinations and the immediate addition of a strategic member to the SkyTeam alliance.
The commercial agreements between Air France-KLM and SAS, set to commence on September 1, 2024, include interline and codeshare partnerships, which will connect their respective hubs and offer customers expanded travel options.
The collaboration will also extend to reciprocal loyalty program benefits, enhancing the value of frequent flyers of both airlines.
This partnership will also see SAS joining the SkyTeam alliance, further integrating the airline into the Air France-KLM network and offering enhanced services and benefits to EuroBonus members.
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