PHOTOS: AtlasGlobal launches Sarajevo

GLOBAL AVIATION NEWS

SAA sold

South Africa agreed to sell a majority stake in the country’s grounded national carrier to a local jet-leasing company and private-equity firm, ridding the government of an entity that has long been a drain on state finances. A consortium comprised of Johannesburg-based Global Airways, which owns recently launched domestic airline Lift, and private-equity firm Harith General Partners will take a 51% shareholding in South African Airways (SAA), Public Enterprises Minister Pravin Gordhan said. The government will retain a minority stake. The grouping named Takatso will invest as much as 3.5 billion rand ($258 million) over the next three years, Lift co-founder, Gidon Novick, and Harith Chief Executive Officer, Tshepo Mahloele, said in an interview. “Government will have no further financial obligations to the company, outside of the existing liabilities that they will settle”, Novick said. He added, “Route networks we are still working on, and it will be a phased roll-out based on demand re-emerging post Covid”. The sale of SAA comes about six weeks after the airline emerged from lengthy bankruptcy proceedings, having reduced its workforce by almost 80% and cut liabilities to about 2.6 billion rand. The next challenge is to resume international flights, though South Africa remains cut off from much of the world due to pandemic travel restrictions. A longer-term goal is to list the carrier on a stock exchange, Gordhan said. In the meantime, the government will retain special voting rights to ensure the airline remains in the country, among other national priorities. The deal represents a triumph of sorts for Gordhan, who has argued for the revival of SAA with the help of private investors while others were calling for it to be liquidated. While SAA is now “solvent and liquid,” business-rescue practitioners said when handing over the aircraft, subsidiaries including low cost arm Mango and maintenance firm SAA Technical remain under financial strain and are in the process of being recapitalized. The Department of Public Enterprises and the new consortium will together assess the future of the divisions as part of the due diliegence process, Gordhan said.
Source: Bloomberg

PHOTOS: AtlasGlobal launches Sarajevo

NEWS FLASH

Turkish carrier AtlasGlobal inaugurated flights between Istanbul Ataturk Airport and Sarajevo yesterday, becoming the third airline to maintain services between the two cities. AtlasGlobal will run four weekly flights to the Bosnian capital, each Monday, Tuesday, Thursday and Saturday, with its 164-seat Airbus A320 aircraft, featuring eight seats in business and the remaining 156 in economy class. Sarajevo becomes the carrier's second destination in the former Yugoslavia following Belgrade, which was introduced earlier this year. The General Manager of Sarajevo Airport, Armin Kajmaković, said, "We are delighted that AtlasGlobal, with its fleet of 26 modern Airbus aircraft, which flies to fifty destinations in 35 countries in Europe and Asia, has recognised Sarajevo and Bosnia and Herzegovina as a perspective leisure and business destination. With this scheduled service, passengers have even more options to fly to Istanbul, which is one of the biggest transfer points in the world". AtlasGlobal said it expects for the service to go daily as it sees potential on the market.

Comments

Anonymous10:56
4 per week is very prudent. Wonder why they are staying away from Zagreb.
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