Small savers' shares worthless after SAS announcement – why they have not been deceived anyway

Air France-KLM enters SAS as a new major shareholder – a positive message for the ailing airline, according to Alexander Norén.

"The immediate danger is definitely over. Now they have added so much capital that they stay flying even if there are headwinds in the near future.

Small savers without luck

It looks all the worse for small savers.

"All current shareholders, large and small, will be without a lot as a result," says Alexander Norén.

Of the 255,000 shareholders, 137,000 are Swedish, according to the company's own data.

At the financial forum, small savers express confusion, sadness and anger over the news.

"105,000 backed on the," writes one user on Place's forum.

Unusual phenomenon

It is very unusual for shareholders to be left without lots in this way, according to Alexander Norén.

"Basically, something like this happens or the company needs to go bankrupt. Even then, shareholders win zero.

SAS is undergoing a restructuring where they have been forced to negotiate with all parties that have financial interests with them – from shareholders to those who lent money or leased aircraft to them – to reduce costs, Norén explains.

"The shareholders then have to put up with the fact that the shares may become worthless, as the company needs to bring in new money from new owners. They are entitled to this in the reconstruction process.

After all, small savers have not been fooled – hear Alexander Norén explain why in the clip.