SAS signs letter of intent to sell stake in Estonian Air

Estonian Government confirmed SAS Scandinavian Airlines signed a letter of intent to sell its stake in Estonian Air (The Local, 10-May-2010). The details would remain confidential until the final shareholders' agreement had been concluded, it added, without giving a date. The Estonian Government launched talks in Jan-2010 with SAS over Estonian Air's future and in Apr-2010 stated it hoped to complete the takeover in Jun-2010 or Jul-2010. SAS holds a 49% stake in Estonian Air. The government owns 34% and the remaining 17% belongs to Estonian investment company Cresco. The government will contribute to a capital increase under which its stake will increase to 66%.