Shares in Scandinavian Airlines plunge after rescue deal announced

Shares in Scandinavian Airlines dropped more than 90% on Wednesday (Scanpix via AP)

Shares in Scandinavian Airlines dropped more than 90% after the ailing carrier announced new shareholders in a restructuring scheme that will see the company delisted and existing ownership stakes erased.

The rescue deal involving airline alliance Air France-KLM and private equity firms Castlelake and Lind Invest, which became investors alongside the Danish state, was presented late on Tuesday.