South Africa-Aviation-SAA

S/Africa: Minister upbeat about SAA’s long-term prospects

APA-Pretoria (South Africa)

Public Enterprises Minister Pravin Gordhan has assured South Africans that the state-owned South African Airways is expected to continue its operations for the foreseeable future despite reports that it is facing liquidation again.

Contrary to media reports, the minister said the national airline was involved in a business deal with the Takatso Consortium to purchase 51% of SAA, and he urged all regulatory authorities in the country to assist in having a speedy conclusion to this process. 

The government was committed to ensuring that SAA grows and that the strategic equity partnership with the Takatso Consortium is finalised, Gordhan said.

“We also want to assure the loyal customers of SAA that we will do everything possible to ensure the national airline grows from strength to strength,” he said.

The minister said the transaction for the consortium to stake its claim in the carrier was now in the hands of “relevant regulators, including the Competition Commission, Competition Tribunal, and respective aviation authorities” for approval.

On September 23, SAA celebrated one-year of service since taking to the skies after a successful business rescue process following its first-ever liquidation.

According to the Ministry of Public Enterprises, the SAA business rescue process “has resulted in the emergence of a competitive, sustainable and technologically agile airline that is gradually regaining its market share and continues to offer best service to its customers.”

“The re-emergence of SAA ensures that the national airline continues to play a critical role in the aviation industry and economy at large by providing air transportation connectivity services for both passengers and cargo, facilitating trade and investment, tourism and promoting job creation,” the ministry said. 

NM/jn/APA

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