We’re Not Becoming ‘Air France-KLM Lite,’ SAS CEO Tells Skift

Anko van der Werff is having a wild week.

On Tuesday, the SAS CEO signed a multi-billion dollar deal for 45 new Embraer aircraft – the company’s largest direct order in decades. Today, he was shaking hands with Ben Smith as Air France-KLM prepared to triple its stake in the Scandinavian carrier.

Speaking to Skift from Stockholm, van der Werff described Friday’s announcement as both strategic and symbolic: “This is not marketing, it’s not boasting, but this is a historic day for us,” he said. “We’ve been interested and open to consolidation and finally after many years – in fact, a few decades probably – SAS is succeeding in consolidating.”

The deal, which remains subject to regulatory approval, will see AF-KLM increase its shareholding in SAS to 60.5%, enabling much deeper integration between the two companies. The Franco-Dutch group will acquire existing SAS stakes held by asset management firms Castlelake and Lind Invest.

Investment as a Validation

AF-KLM currently owns a 19.9% shareholding in SAS. Van der Werff said the move to more than 60% shows that the Scandinavian airline is on the right track: “It is a validation of the transformation journey we have been on – it feels good.”

The SAS chief laid out the enormous opportunities available if – or more likely when – the majority holding is confirmed.

“At 19.9% there’s nothing you can do together beyond the normal interline and codeshare agreements that you can have with any other airline,” he explained. “The 19.9% gave them a seat on the board, but commercially speaking for things like joint purchasing, fleet, network, schedule, and pricing, you’re still completely two independent airlines.”

Pending approval from the European Commission, the tie-up will unlock a broad range of synergies including joint pricing, fleet alignment, loyalty, and corporate contracting. SAS also hopes to become part of the transatlantic joint venture alongside Air France-KLM, Delta, and Virgin Atlantic.

A Reflection of Performance

The terms of the initial consortium deal signed last summer allowed AF-KLM to ultimately own a controlling stake. Van der Werff attributed the acceleration in shareholding to SAS’s stronger-than-expected performance post-restructuring.

“We are performing better than planned. It sometimes feels uncomfortable as an airline CEO to say that things are going well, but within that context, we are doing well. I think Air France-KLM… liked what they saw and decided to move earlier once Castlelake and Lind offered their shares.”

Van der Werff joined SAS exactly four years ago when the airline was still in financially stormy skies. His mission was clear, but the path was less certain. Asked if he expected to be at this stage of the turnaround by the summer of 2025, the CEO revealed his hope was actually to get here around a year ago.

The move is more than just a financial or operational shift; it’s the culmination of a strategic vision Van der Werff’s held since joining the airline amid the turbulence of 2021: “I’ve always had this visualization that SAS needs to be part of something bigger,” he said. “That was the philosophical, spiritual, whatever-you-want-to-call-it direction that I had.”

Moving Faster Together

While Air France-KLM is set to become the majority owner, the Danish government will retain a significant stake at around 26.5%. It will also continue to have board representation.

Van der Werff welcomed Denmark’s continued involvement but made clear that governance decisions lie with the new ownership.

“What I can say is it’s already been very constructive to work in this environment over the last year since the restructuring. What I’m happy with is that [the consortium] owners have taken this decision and done what is right for the company. We’ll probably move faster in that the 19.9% [AF-KLM existing stake] doesn’t give you much. If you really want to go forward with the synergies, then you have to get into a controlling stake environment.”

The Fate of SAS’ Scandinavian Soul

As well as comments in market filings on Friday, van der Werff took to LinkedIn for a more personal take on the proposed deal. Perhaps anticipating concerns about SAS’s future identity, he wrote: “Make no mistake, SAS will remain proudly Scandinavian at heart, in look, and in feel.”

Pressed by Skift on what this would mean in practice, the CEO emphasized that SAS’s identity would remain intact: “If there was any concern about if the brand will still exist after this – it will. Will we still serve a distinctly Scandinavian product? We will.

“Air France-KLM is not in the process of buying us to make an ‘Air France-KLM Lite’. They bought us because we know Scandinavia. We are Scandinavians. It would be value destruction if you took the loyalty of 8 million EuroBonus members completely away and made it into something that we’re not,” he added.

Before returning to Europe, the industry veteran held senior leadership roles at Aeromexico, and Qatar Airways, and was most recently CEO of Colombia’s Avianca. 

Van der Werff believes the deal reflects a wider structural shift in European aviation. “Europe is lagging behind,” he said, citing his experience working in other global markets. “It’s still too fragmented and it needs a second phase [of consolidation]. I hope this contributes to that.”