The Department of Public Enterprises (DPE), along with Minister Pravin Gordhan, has refuted any suggestions by trade unions and opposition political parties that the Takatso Consortium – a special-purpose vehicle established to acquire a 51% shareholding in SAA – will not be able to raise the necessary capital to grow the national carrier.
Takatso is majority owned by Harith General Partners (Pty) Ltd with minority shareholders in Syranix (Pty) Ltd and Global Aviation (Pty) Ltd. DPE's due diligence had focused on these individual entities, said a DPE spokesperson.
“DPE is satisfied in Takatso as the strategic equity partner in this deal, particularly with Harith's interest in growing its transport platform, particularly aviation, to complement existing related assets.
“DPE is satisfied with Takatso shareholders' track record of building a portfolio of assets across the continent, contributing to the African narrative of large-scale, impactful infrastructure projects. Shareholders have provided the necessary financial, empowerment, technical, and governance credentials.”
‘Fair and transparent process’
Following calls for the interim board – appointed effective from Saturday, April 15, to serve until the introduction of strategic equity partner, Takatso Consortium – to be dissolved amid questions about the viability of the Takatso deal, the DPE said in a statement: “The Ministry of Public Enterprises (DPE) has followed a fair and transparent process in its pursuit to achieve the government's objectives of finding a strategic equity partner (SEP) for South African Airways, following the airline's exit from the business rescue process.
“The selection of the SEP aimed to bolster SAA's competitiveness in a cut-throat market, ensure its commercial viability and sustainability, and contribute positively to the country's economy instead of burdening the fiscus.”
The Takatso Consortium was originally formed to buy a 51% controlling stake in the airline from the Department of Public Enterprises for R3bn (€149m) and was announced as the bid winner in June 2021, when it signed an MOU with the DPE.
In November last year, the deal hit a road block when aviation maverick, Gidon Novick walked away from the Takatso Consortium. He indicated to Tourism Update’s sister publication, Travel News, that the reason for his exit was his dissatisfaction with transparency and information-sharing at board level.
The Democratic Alliance has also questioned the lack of transparency into the deal, which has taken more than two years to finalise.
Deal finalised soon?
However, daily news publication, News24, cited newly appointed interim SAA Board Chair, Derek Hanekom as saying the South African government expected to finally conclude the deal within in the next four months.
"I can't comment on the Takatso deal. Minister Gordhan indicated that he expects it to be concluded in the not-too-distant future. He is confident that it means within the next four months," Hanekom was quoted as saying.
