Solidarity drops application to have SAA placed under business rescue

File: SAA has told trade union Solidarity it’s now seeking a strategic equity partner to help improve its finances. Photo: AFP / Karen Bleier

JOHANNESBURG - There may be some hope for South African Airways.

Although the airline comes with serious liquidity issues, some experts say the carrier remains a viable business.

SAA told trade union Solidarity it’s now seeking a strategic equity partner to help improve its finances.

The union, in turn, abandoned its application to have SAA placed under business rescue.

READ: Turbulence ahead as SAA records massive loss

SAA is in desperate need of financial support.

It hasn't had an operating profit for the past six years.

The airline now wants to improve its balance sheet to make buy-in more attractive to potential investors.

But this may not be possible given the financial mess it finds itself in.

A strategic partner will need to change a number of factors in order for SAA to operate effectively.

eNCA

Discussion Policy

eNCA.com would like to send you push notifications.
Notifications can be turned off any time in your browser settings.
You have been registered for browser notifications