Image via Adobe Stock
SAA BRPs notified all parties that conditions were fulfilled by the deadline. The business rescue plan is now unconditional.
Image via Adobe Stock
South African Airways (SAA) business rescue practitioners, on Tuesday 28 July, released a statement saying that conditions outlined in the business rescue plan have been fulfilled by government, therefore, the plan is “unconditional” and will take up operation.
Following a creditors voting meeting on Friday 24 July, it was stipulated that a paragraph in the business rescue plan had been amended and had to be fulfilled and confirmed by government by Monday 27 July. It seems as though the government has managed to fulfil its obligations.
SAA business rescue practitioners Les Matuson and Siviwe Dongwana said the conditions that had to be approved, were fulfilled by the stipulated deadline.
“Please note that all conditions set out in paragraph 42.1 were fulfilled on or before 27 July 2020 and the business rescue practitioners are currently attending to and finalising the remaining and outstanding administrative issues before filing a notice of substantial implementation,” the statement read.
If the conditions were not fulfilled by government, the plan would have been deemed unimplementable and a meeting would be convened on 30 July for SAA creditors to consider amending the business rescue plan.
If that didn’t pan out, the creditors could have opted for the liquidation of the airline.
“There will be no meeting on 30 July 2020 and the plan has become unconditional and has come into operation,” it added.
Conditions for the SAA business rescue plan to come into operation and be fully implemented were: