SAS Scandinavian Airlines has entered into an investment agreement for its Chapter 11 exit financing, totaling USD1.2bn.
The winning consortium, led by Castlelake, has increased its proposed investment by USD25m from the original offer of USD1.175bn.
The agreement includes a new loan to replace previous financing from Apollo Global Management, with Castlelake set to take a stake of about 32pc.
SAS intends to seek US court approval for the investment agreement and new financing in November 2023, followed by regulatory approvals and a Swedish company restructuring filing next year. This investment agreement represents the next step for SAS in its Chapter 11 process and showcases the belief of new investors in the airline’s potential for future success.
