SAA requires USD1.7bn funding, government to sell 'big stake' in airline: CEO

4 June, 2018

South African Airways (SAA) CEO Vuyani Jarana, speaking on CAPA TV, confirmed (04-Jun-2018) the carrier has a "break even time line of about three years", but noted "the plan needs funding". Mr Jarana said the airline's capital requirements will total about ZAR21.7 billion (USD1.7 billion), including ZAR9.2 billion (USD727 million) to address existing debt and ZAR12.5 billion (USD988 million) for "forward looking working capital requirements". The carrier is determining the required structure of debt and equity. Mr Jarana said South Africa's Government "agreed to sell a big stake in SAA so that we can get private sector investment, which will also... lessen the burden of the capital requirements from government".