Air France-KLM is making good on its choice to take management of SAS Scandinavian Airways after first investing within the provider final yr.
Below a deal unveiled Friday, the Paris-based airline group will improve its possession stake in SAS to 60.5% by the top of 2026, up from 19.9% at present. That may give Air France-KLM majority management of the Scandinavian airline and a dominant place within the Europe’s Nordic area.
“We’re excited by the prospect of absolutely welcoming SAS into the Air France-KLM household,” stated Ben Smith, CEO of Air France-KLM, in an announcement. “This operation would profit our clients and all Scandinavians who would take pleasure in enhanced connectivity, in addition to the SAS groups whose dedication has been key to revive their airline to its rightful place.”
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SAS is one among a number of carriers on the middle of European airways’ newest consolidation spree. Air France-KLM’s preliminary funding in 2024 noticed the Scandinavian airline shift allegiance to the SkyTeam Alliance from Star Alliance, and forge new partnerships with the likes of Delta Air Strains. Italy’s ITA Airways, Portugal’s TAP Air Portugal and Spain’s Air Europa are additionally amongst takeover targets with the Lufthansa Group buying ITA earlier this yr, and TAP and Air Europa nonetheless in negotiations with suitors.
The online result’s a shifting map of airline partnerships, together with SAS’s shift to SkyTeam and ITA’s pending transfer to Star. Worldwide Airways Group (IAG), mother or father firm of British Airways and Iberia, is reportedly in shut talks to accumulate TAP, which might be a acquire for the Oneworld alliance on the expense of Star.
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Since shifting into Air France-KLM’s orbit in 2024, SAS has expanded its connections with the group and different SkyTeam members. The airline has added nonstops from its foremost hub at Copenhagen Airport (CPH) to Delta’s New York’s John F. Kennedy Worldwide Airport (JFK) and Seattle-Tacoma Worldwide Airport (SEA) hubs, and Korean Air’s Seoul Incheon Airport (ICN) hub, schedule knowledge from aviation analytics agency Cirium exhibits.
Air France-KLM executives have stated that SAS will ultimately be part of the group’s transatlantic be part of enterprise with Delta and Virgin Atlantic Airways.
The funding is SAS additionally provides a 3rd main European hub — Copenhagen — to Air France-KLM’s community. Its foremost hubs, Amsterdam Schiphol Airport (AMS) for KLM and Paris Charles de Gaulle Airport (CDG) for Air France, face numerous development constraints. The Dutch authorities is actively working to limit flights at Schiphol, whereas industrial actions and different limits problem operations Charles de Gaulle. Copenhagen, based on airport authorities, has room to develop.
SAS additionally has massive bases on the Oslo Airport (OSL) and Stockholm’s Arlanda Airport (ARN).
Air France-KLM will improve its stake in SAS by shopping for out fellow buyers Castlelake and Lind Make investments. The deal is anticipated to shut within the second half of 2026 pending regulatory approval.
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