Treasury expects to appoint advisers on SAA merger within weeks
The Treasury expects to announce soon the appointment of advisers on a possible merger of South African Airways (SAA) and SA Express. A request to offer advice on a merger during which a strategic equity partner would be introduced was published in June, the Treasury said on Thursday. It expected to appoint advisers within weeks, it said. The move comes as cash-strapped state-owned airline SA Express said on Wednesday it was not pulling out completely from the Johannesburg-East London, Johannesburg-Port Elizabeth and Cape Town-Durban routes. The airline had chosen to reduce flights based on operational performance but continued to review the performance of the routes and would still fly on peak days, SA Express CEO Inati Ntshanga said. In a trade notice on Monday, SA Express said it would suspend flights on the routes from Saturday, with passengers to be accommodated on the two other state-owned airlines, Mango and SAA. The Treasury has instructed SAA to scale back on routes that ar...
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