SAA business rescue process comes to an end
Business rescue practioners at South African Airways (SAA) have filed a notice of substantial implementation, signalling their exit from the airline.
SAA was placed under business rescue in December 2019 to allow for restructuring and in a bit to make the national carrier financially viable.
Various unions, including the South African Transport and Allied Workers Union (Satawu), wanted business rescuers Les Matuson and Siviwe Dongwana out much sooner after they expressed concerns that the job hadn't been done.
On Friday, the Department of Public Enterprises welcomed the exit of the business rescue practioners.
"The BRPs are handing over to the SAA Interim Board a solvent business," said the department's spokesperson Richard Mantu.
"However, this does not mean that the work is finished."
Mantu added that the board and management will be implementing an interim business plan to sustain the operations while a strategic equity partnership is being finalised.
"Government is in the final stages of negotiations with the preferred SEP, and a purchase and sale agreement should be concluded in the next few weeks. This will enable capital, and much needed technical and commercial expertise to be brought in to ensure a competitive flag carrier emerges."
Listen to Richard Mantu below:
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