State is finalising financial aid for Denel, MPs hear
The loss-making arms manufacturer faces a liquidity crunch and is unable to pay staff and suppliers
An intergovernmental team representing the departments of public enterprises, defence and the Treasury are working on a plan to provide financial support for bankrupt state-owned arms manufacturer Denel, the director-general of public enterprises Kgathatso Tlhakudi told MPs Wednesday.
“We are currently determining the form of support that Denel will receive for it to restructure itself and to ensure that it has the working capital to execute its orders,” he said. The government was also ensuring that Denel’s government-guaranteed loans were paid off...