Sunday 22, July 2018 by Bloomberg

Emirates and Etihad in talks with South African Airways

 

South African Airways (SAA) is urgently seeking a strategic equity partner as an answer to its financial problems.

  

United Arab Emirates airlines have held talks with South African Airways, which has said it urgently needs partners to revive its business, reported local daily, City Press.

Talks between Emirates Airline and SAA, which have been going on for some months, are being facilitated by the U.A.E.’s embassy in Pretoria, Alhameli said. Etihad Airways has also been holding separate negotiations with SAA, he said.

“It’s company-to-company talks,” Alhameli said, according to the newspaper. “As ambassador, I’m facilitating that.”

The UAE plans to invest as much as $10 billion in South Africa’s economy, a commitment made during a visit by the nation’s President Cyril Ramaphosa’s visit this month.

While the UAE sees potential to invest in the state-owned power utility, Eskom Holdings those discussions aren’t as advanced as the airline talks. The UAE is aware of financing needs for SAA and Eskom and talks started before the Gulf nation announced a pledge to invest, added Alhameli.

  

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