Airports company to remain in state hands says Mbalula

Several potential investors have expressed interest in acquiring a stake in the Airports Company of SA (Acsa) which operates SA’s major airports, but transport minister Fikile Mbalula says its sale is not on the table.

The government owns 74.6% of Acsa and the Public Investment Corporation 20%, with seven minority shareholders owning less than 2% each of the remainder.

Acsa, which owns and operates SA’s nine principal airports including three international gateways — OR Tambo, Cape Town and King Shaka international airports, suffered like airlines internationally from the travel restrictions imposed during the Covid-19 pandemic, but is on the road to recovery as tourism picks up.

“The government has no intention to divest the equity it holds in Acsa, in favour of private shareholding in the foreseeable future,” the minister said in a statement Friday. “Acsa is not only a strategic national asset with an important role to play in SA’s economic reconstruction and recovery, but also in enabling the growth of the aviation sector in Africa.”

Mbalula noted that the Department of Transport had been approached by prospective investors who expressed interest in acquiring equity in Acsa and a number of other interested parties had approached Acsa with similar proposals.

“While it is true that Acsa has been severely impacted by the Covid-19 pandemic as a result of travel restrictions, it remains on course on the recovery path. The Acsa recovery is driven by its recovery strategy premised on its mandate to run airports, develop airports and grow its footprint, both in the country and elsewhere, with particular focus on the African continent,” Mbalula said.

He welcomed the interest prospective investors continued to show in SA and its public entities and said government would continue to engage with them “with a view to direct these investments to projects that we believe will add appropriate value to our service delivery mandate across the sector, and not equity. The aviation sector has massive potential for investment and we encourage investors to take advantage of the opportunities it presents.”

ensorl@businesslive.co.za