The controversial deal to sell 51% of SAA to the Takatso consortium for R51 finally crashed this week after the government raised the price for the airline.
Minister of Public Enterprises Pravin Gordhan made the announcement on Wednesday following a Cabinet meeting that decided to pull the plug.
The transaction was first announced in June 2021, but several regulatory and political obstacles prevented its conclusion. Originally, it had been agreed that 51% of the airline would change hands for R51 on the condition that, over time, Takatso would inject R3 billion of capital in the form of a shareholder loan. Since then, circumstances have changed substantially, with Gordhan deciding last September to re-evaluate SAA's assets and business.