SAA business rescue comes to an end
It's understood South African Airways has now been handed back to the executives and the board.
JOHANNESBURG - Business rescue at South African Airways (SAA) has come to an end.
It's understood the airline has now been handed back to the executives and the board.
The business rescue practitioners have filed a notice of substantial implementation with the Companies and Intellectual Property Commission, ending the process which began 17 months ago.
The rescue plan was voted for and approved by creditors in July last year with R10.3 billion in funding required for its implementation.
To date, R7.8 billion has been received from the government.
With practitioners leaving both a solvent and liquid SAA, its subsidiaries, including the Mango airline, will be fully operational.
Cash-strapped Mango was forced to ground its flights on Wednesday, leaving many passengers stranded at various airports due to financial uncertainty.
Head of communications, Benediction Zubane said the low-cost carrier would continue to fly passengers as normal from Saturday following fears it may halt operations from 1 May.
“We are excited to inform you that despite a lot of speculation and uncertainty during the past week, Mango Airlines continues to operate as normal tomorrow and beyond. Mango Airlines would like to thank you for your patience and continued support.”
However, Mango said its Zanzibar route would remain suspended until further notice.