SAS AB resolves on an upcoming compulsory redemption of all preference shares for total redemption proceeds of approximately SEK 1.1 billion

The Board of Directors of SAS AB (publ) has resolved on the compulsory redemption of all 2,101,552 preference shares outstanding, for approximately SEK 1.1 billion of total redemption proceeds to the holders of the preference shares.

In accordance with the redemption provision in Article 5, item E of the Articles of Association, the Board of Directors of SAS has decided to reduce the company’s share capital by SEK 42,241,195.20 (from SEK 7,732,150,470.30) through the compulsory redemption of 2,101,552 preference shares. The redemption proceeds will total SEK 1,112,078,271.84, corresponding to SEK 529.17 per preference share (SEK 525 plus accrued dividend of SEK 4.17 per preference share).

“The compulsory redemption of the remaining preference shares completes the preference share redemption process we started earlier this year. I would like to thank the preference shareholders for their support since 2014,” said Torbjørn Wist, CFO.

The following applies to the redemption of preference shares:

In accordance with Article 5, item E of the Articles of Association, the redemption proceeds for each redeemed preference share will be SEK 529.17, which corresponds to 105 per cent of the issue price for each preference share and an accrued part of preference share dividend.
The record date for the redemption is 30 November 2018. Shareholders who wish to divest preference shares should note that the final date for trading on Nasdaq Stockholm is 28 November 2018. Please note that the redemption of shares may have other tax effects than a sale of shares for certain shareholders.
The redemption procedure is carried out automatically, meaning that the preference shareholders do not need to take any action.
Payment of the redemption amount of SEK 529.17 per preference share is expected to take place on 5 December 2018. Payment will be made to the bank account linked to each preference shareholder’s securities account. For shareholders who have their preference shares registered to a nominee with a bank or other nominee, payment will be made according to each respective nominee’s routines.

Time table for the redemption procedure

28 November 2018 Final date for trading of SAS preference share on Nasdaq Stockholm

30 November 2018 Record date

5 December 2018 Payment of redemption proceeds is expected to be made

The resolution on reduction of the company’s share capital through a compulsory redemption of preference shares will take place, without obtaining permission from the Swedish Companies Registration Office or the district court, through a process where an amount corresponding to the reduction of the share capital (SEK 42,241,195.20) is transferred from the unrestricted shareholders’ equity to the company’s statutory reserve and thus, the company’s restricted equity will not be reduced.