SA Express faces liquidation application
Solenta Aviation has approached the courts, but SA Express says it will oppose the move, as it disputes the R87.3m Solenta says it is owed
Cash-strapped state-owned airline SA Express is facing an application for liquidation because it cannot pay its debts. The application has been brought in the Gauteng High Court by aircraft leasing company Solenta Aviation on the basis of the nonpayment of R87.3m and would be heard on August 11, if it is not opposed. But SA Express acting CEO Victor Xaba said the airline did intend to oppose the application because of a dispute over the amount owed. He said the airline was engaging with legal counsel and Solenta in a bid to find an amicable solution, and gave the assurance to creditors, customers and stakeholders that SA Express was in not in financial distress and was able to pay its debts. The application for liquidation comes hot on the heels of South African Airways’ inability to repay a R2.3bn loan to Standard Chartered Bank, which required Treasury to step in with a cash injection for this amount. SA Express also experienced a cash crunch in February, when it was unable to rep...
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