SAS preparing to be bought
Jun 8, 2010, 2:45 am
#1
Original Poster
Join Date: Sep 2009
Location: Singapore
Programs: TK*G, SAS EB Basic, CX MPC, KLM FB, SPG Gold, Hyatt Plat
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SAS preparing to be bought
At least according to their CEO (article in Swedish: http://di.se/Artiklar/2010/6/8/20852...r=273308&rlt=0 ) Perhaps not news, but I missed that they were so blunt about it. He basically says their focus now is to get cash flow so that someone can buy them next year.
Wonder which someone that is going to be?
Wonder which someone that is going to be?
Jun 8, 2010, 3:54 am
#3
Join Date: Dec 2009
Location: Sweden / Germany
Programs: EB / FB / Topbonus
Posts: 298
They tried to sell it before but they didnt got the price which they were asking for. If they will "push" to sell it, the price will be lower than whats its worth and hence not a good investment. So the big question is if SAS could become attractive. As for myself, I wouldnt take such a risk with my knowledge of SAS (which btw isnt that much).
Jun 8, 2010, 5:09 am
#4
Join Date: Nov 2008
Location: Stockholm
Posts: 152
They tried to sell it before but they didnt got the price which they were asking for. If they will "push" to sell it, the price will be lower than whats its worth and hence not a good investment. So the big question is if SAS could become attractive. As for myself, I wouldnt take such a risk with my knowledge of SAS (which btw isnt that much).
But the problem with the airline business is that it's extremely sensitive for external effects such as strikes, terrorist attacks and (the new kid on the block) volcanic eruptions. So I wouldn't put my money in any airline, period.
Jun 8, 2010, 5:31 am
#5
Join Date: Feb 2008
Location: Stockholm
Programs: Various
Posts: 3,375
It makes sense to sell SAS. The owners really don't want to own it and keep their shares as a form of terror balance. The company is too bureaucratic(or has been) and a new owner may do something about this without being hindered by political considerations to the same extent that SAS current management is.
I also think that they see a need for mergers to create bigger stronger companies just like in the US because the airlines apparently cannot make it alone. I don't know if they are right or not but it seems like everyone in the business talks mergers.
I also think that they see a need for mergers to create bigger stronger companies just like in the US because the airlines apparently cannot make it alone. I don't know if they are right or not but it seems like everyone in the business talks mergers.
Jun 10, 2010, 10:33 am
#7
Join Date: Jan 2005
Location: Tampere
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cheers,
Henry
Jun 10, 2010, 2:22 pm
#8
FlyerTalk Evangelist
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Jun 13, 2010, 2:11 pm
#9
Join Date: Jul 2003
Location: Finland
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Posts: 709
Seriously, I can't see how SK/AY merger would help anything. Considering that there is not much competition outside AY and SK/KF in a major area, the merger would probably have tough time getting approval from the EU as well.
Jun 14, 2010, 2:55 am
#10
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AY being the ailing?
I think out of the possibilities.. the only one with any cash flow right now is LH. Doubt BA will take SK with their recent merger with IB and BA's own problems with cabin crew strike..
Maybe EK would be interested ?
I think out of the possibilities.. the only one with any cash flow right now is LH. Doubt BA will take SK with their recent merger with IB and BA's own problems with cabin crew strike..
Maybe EK would be interested ?