Comair’s BRPs given 1-month extension to source funding
Comair - which operates British Airways locally and owns low-cost airline kulula.com - has been under business rescue since May this year.
JOHANNESBURG - Comair’s creditors on Wednesday confirmed a month-long extension for the business rescue practitioners (BRPs) to publish their rescue plan.
The extended deadline also gives the BRPs more time to source funding for the airline.
Comair, which operates British Airways locally and owns low-cost airline kulula.com, has been under business rescue since May this year.
BRPs Richard Ferguson and Shaun Collyer requested the extension at a creditors meeting on Tuesday to negotiate short-term bridging funding and also consider two offers from potential investors.
The practitioners said that of the two offers, one was binding but certain conditions needed to be discussed. The non-binding offer was still under negotiation.
Comair went into voluntary business rescue in May in order to protect its assets and restructure the airline as the industry had been battling under the COVID-19 lockdown.
The majority of the creditors voted to grant the creditors another month to finalise the process.