Shares in Scandinavian Airlines plunge to become almost worthless after rescue deal announced

COPENHAGEN, Denmark (AP) — Shares in Scandinavian Airlines have dropped more than 90% after the ailing carrier announced new shareholders in a restructuring scheme that will see the company delisted and existing ownership stakes erased. The rescue deal involving airline alliance Air France-KLM and private equity firms Castlelake and Lind Invest, which became investors alongside the Danish state, was presented late Tuesday. The deal means that SAS will receive $475 million in new equity and $700 million in convertible debt. Scandinavian Airlines will be taken off the stock exchange in the second quarter of 2024. On Wednesday, SAS shares dropped 96% shortly after trading opened.