In a move to bolster its position in the European aviation market, Air France-KLM announced on Friday its intention to acquire a majority shareholding in Scandinavian Airlines (SAS), aiming to increase its stake from 19.9pc to 60.5pc. The strategic acquisition, set to be finalised in the second half of 2026 pending regulatory approvals, marks a pivotal step in consolidating Europe’s fragmented airline sector and enhancing Air France-KLM’s foothold in the Scandinavian market.
The Franco-Dutch airline group plans to purchase the stakes held by investment firms Castlelake (32pc) and Lind Invest (8.6pc), bringing its total ownership to 60.5pc. The Danish government, currently SAS’s second-largest shareholder, will retain its 26.4pc stake and its seats on the airline’s board of directors. The value of Air France-KLM’s investment will be determined at the time of closing, based on SAS’s financial performance, including its EBITDA and net debt, aligning with the group’s medium-term financial outlook.
This acquisition builds on the successful commercial cooperation initiated in 2024, which saw SAS join the SkyTeam alliance alongside Air France and KLM. Since then, extended codeshare and interline agreements have strengthened ties between the carriers, paving the way for deeper integration. SAS, which emerged from US Chapter 11 bankruptcy protection in August 2024, has shown a remarkable turnaround, generating €4.1 billion in revenue and carrying over 25 million passengers in 2024 with a fleet of 138 aircraft.“
Following their successful restructuring, SAS has delivered impressive performance, and we are confident that the airline’s potential will continue to grow through deeper integration within the Air France-KLM Group,” said Benjamin Smith, CEO of Air France-KLM. The acquisition will allow SAS to become a subsidiary of the Air France-KLM Group, enabling comprehensive integration across operations, including loyalty programmes like SAS’s EuroBonus and Air France-KLM’s Flying Blue.
The move is part of a broader trend of consolidation in Europe’s airline industry, as carriers seek to compete with rivals from the United States and the Middle East. Industry analysts see this as a strategic play to unlock synergies, expand market reach, and deliver greater value to shareholders. Anko van der Werff, President and CEO of SAS, described the announcement as “a defining moment for SAS,” highlighting Air France-KLM’s commitment to strengthening the Scandinavian carrier.
The transaction, subject to regulatory clearances, is expected to close in the second half of 2026. A detailed presentation is available on Air France-KLM’s website, and a conference call hosted by Mr. Smith and CFO Mr. Zaat was scheduled for 9:00 AM CET on 4 July 2025 to discuss the acquisition. The acquisition positions Air France-KLM as a dominant player in Scandinavian aviation, promising enhanced connectivity and competitiveness across Europe and beyond.
