SAA subsidiary Mango Airlines will enter into business rescue, SAA’s interim chief executive Thomas Kgokolo told eNCA on Monday.
SAA, which exited business rescue in April, is one of the state-owned companies that depended on government bailouts, placing the national budget under huge strain.
“The board and shareholders have agreed Mango will go into business rescue,” Kgokolo said in an interview with eNCA.
“We are in consultation with our key stakeholders on how we can manage that particular process.”
The government announced in June that it was selling a 51% stake in SAA to the Takatso Consortium to give the airline a new lease of life.
SAA had been under a form of bankruptcy protection since December 2019, but its fortunes worsened during the Covid-19 pandemic and all its operations were mothballed in September 2020 when funds ran low.
Reuters
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