Public Enterprises on Competition Tribunal’s approval of Takatso’s proposed purchase of 51 percent interest in SAA

The Department of Public Enterprises (DPE) has welcomed the Competition Tribunal’s approval of the Takatso Consortium’s proposed purchase of a 51 percent shareholding in South African Airways (SAA).

The DPE hailed the decision as a significant step in the government’s efforts to consolidate the re-emergence of the national carrier as a key strategic asset.

The Tribunal has approved the transaction subject to conditions involving a moratorium on retrenchments and divestiture of the shareholding by the minority shareholders in the Takatso Consortium.

The Competition Tribunal’s decision sets Takatso and the DPE firmly on course to finalize other critical regulatory requirements to conclude the transaction aimed at turning SAA into a competitive, profitable, and viable carrier, both locally and internationally.

“With this decision, the Competition Tribunal has affirmed our belief as government that a revitalized and a well-capitalized SAA presents the country with significant opportunities to boost economic connectivity and strategic reach that should benefit our economy and our people for years to come,” Minister of Public Enterprises, Mr. Pravin Gordhan said.

“I am confident that the repositioning of SAA sets a very good example of what can be achieved when the right financial and operational framework is given to state- owned companies so they can fulfil their mandate to advance our economic transformation and development as a country,” said Minister Gordhan.

“It is very gratifying to see that we are on the verge of having SAA finally infused with the requisite strategic vision, expertise, and capital by Takatso,” said Minister Gordhan.

“The approval by the Competition Tribunal also sends a very strong message about the extent of the hard work that has gone into this transaction, considering that SAA was on the brink of liquidation. The steps we have taken will ensure that SAA is returned to profitability and sustainability,” said Minister Gordhan.