SAS Group is selling and leasing back a batch of Boeing 737-600s as part of an effort to strengthen its finances, measures which also include carrying out a private placement of €35 million ($46 million).
The Scandinavian company, which has undergone a comprehensive restructuring programme designated 4XNG, says it has finalised the sale and leaseback of six 737-600s jointly to Deucalion Capital X and Engine Lease Finance.
SAS says the lease periods run from four to five-and-a-half years.
Its deal follows a similar arrangement covering spare engines. SAS Group chief financial officer Goran Jansson says the transaction is an "important step" to underpinning the company's financial position.
"We now further increase our liquidity from asset sales with this agreement," he says, adding that the net cash effect for the group will be around SKr500 million ($76 million).
SAS has also conducted a private placement to generate funds which will be used to support long-term liquidity. It says the proceeds of the €35 million placement will be used to pay upcoming unsecured maturing debt.
Deutsche Bank acted as sole adviser for the transaction, says SAS. "The private placement has been completed in accordance with current market conditions with private investors," it adds.