Mango Airlines business rescue nears investor deal as SAA distances itself

The business rescue process for Mango Airlines is in its final stages, with a sale-and-purchase deal between the airline and its selected investor nearing conclusion. This follows ongoing public inquiries about the future of the low-cost carrier, which has been grounded since July 2021.

Source: Maarten Visser via Wikimedia Commons

Business Rescue Practitioner (BRP) Sipho Sono confirmed that Mango is working to finalise the transaction, which aims to relaunch the airline. This stage follows a lengthy process marked by debates and litigation between Sono, the former Ministry of Public Enterprises, and the South African Airways (SAA) board over concerns regarding transparency related to the identity and financial capacity of potential investors.

As part of the process, Mango is also verifying outstanding claims from passengers who bought tickets before 26 July 2021 for travel dates beyond that, when the airline ceased operations.

In a statement, South African Airways (SAA) moved to clarify its position, emphasising that it has no authority or involvement in Mango’s financial obligations, business planning, or claims processes. Mango, though a subsidiary of SAA, entered business rescue in August 2021, separate from the process SAA exited in April 2021.

“SAA has no authority or direct oversight over Mango’s financial obligations, current and future business plan,” the airline said. “We urge affected individuals to follow Mango’s official channels for any inquiries related to its business rescue process.”

SAA reaffirmed that it remains focused on its operational priorities, while the outcome of Mango’s business rescue lies solely in the hands of the appointed practitioner and the selected investor.