SAA now under the wing of Takatso Consortium
South African Airways (SAA) has a new strategic equity partner that will own 51% of the airline.
Public Enterprise Minister Pravin Gordhan announced that the government has reached an agreement with Takatso Consortium, a private company that will own the majority of the struggling airline while government will own 49%.
This after the airline was placed under business rescue about two years ago following management and financial challenges.
The minister gave an update on SAA-related matters on Friday morning.
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Gordhan said the private company is expected to initially pump R3 billion into the airline.
"The intention is to list the airline in the future to address future funding requirements but also enable South Africans to buy shares into this airline once it has settled down in its new form.
"The chairperson of the board shall be a South African. The airline will be domiciled in South Africa. The majority of the executive team shall be South Africans and if there's a need, expertise will be brought in from the outside."
