Denmark is ready to increase ownership stake in airline SAS

Denmark currently owns 21.8% of SAS Loss-making SAS seeks to restructure its business by undertaking large cost cuts, raising new cash and converting debt to equity as part of a plan to rescue the carrier from collapse. The Swedish government earlier this week said it would not inject more cash in SAS.

Denmark is willing to forgive debt owed by loss-making airline SAS and also to inject more capital together with private investors, Finance Minister Nicolai Wammen said on Friday.

"We imagine to have an ownership share somewhere between 22% and up to 30%," Wammen told reporters after meeting with members of parliament. Denmark currently owns 21.8% of SAS Loss-making SAS seeks to restructure its business by undertaking large cost cuts, raising new cash, and converting debt to equity as part of a plan to rescue the carrier from collapse.

The Swedish government earlier this week said it would not inject more cash into SAS. Further adding to the turbulence, some 1,000 pilots in Denmark, Norway and Sweden warned on Thursday they could go on strike from late June over disagreements on wages and ways to cut costs.

SAS was not immediately available for comment.