The Department of Public Enterprises (DPE) has welcomed the decision by the Competition Commission to grant conditional approval of the transaction through which Takatso Aviation Proprietary Limited (\u201cTakatso\u201d) will buy a 51% shareholding in South African Airways SOC Limited (SAA).<\/p>\n<\/p>\n
\u201cThe announcement by the Competition Commission marks a significant step towards the completion of the deal that will strengthen SAA, provide the airline with the necessary capital to continue implementing its growth strategy and become a vital economic enabler for the country,\u201d Minister of Public Enterprises, Pravin Gordhan, said on Friday.<\/p>\n<\/p>\n
The transaction has been under review by the Competition Commission since June 2022.<\/p>\n<\/p>\n
With this conditional approval, the transaction has now been referred to the Competition Tribunal for its consideration and final adjudication.<\/p>\n<\/p>\n
\u201cThe approval by the Competition Commission also sends a very strong message about the government\u2019s commitment and efforts to revitalize state-owned enterprises so that they can stand on their own, and help the country meet its developmental goals,\u201d Gordhan said.<\/p>\n<\/p>\n
In approving the transaction, and following extensive discussions between the parties, the Competition Commission noted that the parties have agreed a moratorium on merger-related retrenchments, which underscores the DPE\u2019s commitment to ensure that State-owned enterprises are capacitated and optimised in a manner that is consistent with government\u2019s socio-economic and developmental objectives.<\/p>\n<\/p>\n
If the Tribunal approves the merger, the remaining 49% shareholding in SAA will be retained by the DPE as the shareholder representative of government.<\/p>\n<\/p>\n
\u201cThis approval will also add vigour and impetus to the efforts by the recently appointed interim board of directors to make SAA more agile, innovative and more customer-oriented,\u201d the Minister said.<\/p>\n<\/p>\n
Source: South African Government News Agency<\/p><\/p>\n","protected":false},"excerpt":{"rendered":"
The Department of Public Enterprises (DPE) has welcomed the decision by the Competition Commission to grant conditional approval of the transaction through which Takatso Aviation Proprietary Limited (\u201cTakatso\u201d) will buy a 51% shareholding in South Afri…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"yoast_head":"\n