Mango must be sold to private buyer

[Hanno Labuschagne]

Mango must be sold to private buyer

Troubled state-owned airline South African Airways (SAA) must sell its low-cost airline Mango to a private buyer, the company's business rescue plan has proposed.

This comes after the SAA Group informed Mango's business rescue practitioner, Sipho Sono, that the low-cost airline would no longer form part of its group.

"Having established that Mango will not form part of the SAA Group, the business rescue practitioner has determined that for Mango to be rescued and for it to remain sustainable into the future, the company requires an investor that would fund ongoing operations beyond the restructuring of the company," Sono stated.

 

[neoprema]

Unless we have so much local business that no other airline can pick-up, there is another option...

 

[Fuzzbox]

As long as government is involved I doubt if anyone would be even remotely interested.

 

[hj007]

How much profit does Mango make? because otherwise just going to maybe purchase planes directly - there's no need to buy liabilities..

 

[Willie Trombone]

How much profit does Mango make? because otherwise just going to maybe purchase planes directly - there's no need to buy liabilities..

For starters I don't think the financial peeps believe the Mamgo profitability story.

OPINIONISTA: Mango low-cost airline — a story of profitability that is too good to be true?

It appears unlikely that all Mango’s expenses have been accurately reflected in its accounts and that perhaps the SAA Group, with the assistance of some creative accounting, has been of the view that a more palatable story to sell taxpayers and the Department of Public Enterprises is of a group...

www.dailymaverick.co.za

 

[Unreal]

Oh guys, our time to shine. Let’s all pitch in and buy ourselves some airplanes

 

[Deandbn]

How much profit does Mango make? because otherwise just going to maybe purchase planes directly - there's no need to buy liabilities..

If you read the article you would have noticed that it doesn't make a profit.. In fact it makes such a huge loss that even business rescue cannot rescue it.. Sad really..
And good that Another anc govt soe bites the dust..
I wonder whether corruption played a part in its demise??

 

[Swa]

Those who would prefer not to take up the voucher offer can opt to become a creditor, which will mean they will also receive 5.23 cents for every rand they paid on a ticket.

Amazing how they make it the taxpayer's problem again instead of doing the right businessy thing and reimburse your customer.

 

[Gaz{M}]

5c on the Rand. Holy hell, Imagine being a creditor and getting 5c back for every Rand you loaned Mango.

 

[wingnut771]

5c on the Rand. Holy hell, Imagine being a creditor and getting 5c back for every Rand you loaned Mango.

karma's a bitch.

 

[Fuzzbox]

As I said previously.

Please vote with your wallets and hopefully these USELESS SOEs will disappear.

 

[deweyzeph]

5c on the Rand. Holy hell, Imagine being a creditor and getting 5c back for every Rand you loaned Mango.

If you're stupid enough to loan money to anything related to the government then you really have only yourself to blame.

 

[RedViking]

Mango was subsidised by tax payers. If they go private it will just be the same as any other airline.

 

[Swa]

5c on the Rand. Holy hell, Imagine being a creditor and getting 5c back for every Rand you loaned Mango.

I'm wondering if that's across the board. Surely there's some guaranteed loans as well.

 

[Ivan Leon]

Next to join the FlySafair fleet. ZS-SJG Recently came to the Safair hangars (Previously flew for Mango).

Behind it is ZS-SJO, also previously flew for Mango. Still needs to be painted.

(Photo courtesy of the FlyAfrica FB Group)

 

[Gaz{M}]

If you're stupid enough to loan money to anything related to the government then you really have only yourself to blame.

What if those companies include ACSA (An SOE) and ATNS (also SOE) and various other agencies that have no choice but to extend credit to Mango. We the passengers will end up funding that deficit.

 

[neoprema]