Fastjet confident of deal ahead of 1time liquidator meeting

This story is sourced from Pro
See more Pro news »

Executives from pan-African budget start-up Fastjet will meet the provisional liquidator of grounded South African carrier 1time Airline in the coming week confident that it has reached local partnership arrangements to allow it completed a deal.

In December Fastjet secured an option to acquire the 1 Time Airline, the low-cost operator which grounded flights at the start of November

"Fastjet has been working with a number of South African-based entities in recent weeks and believes it has now found a solution to secure acceptable partnership arrangements which ensure that any change of control of 1time would comply with current South African laws on foreign ownership," the company says in an update to the UK stock exchange.

"Fastjet is hopeful that a deal could be finalised and feels confident that an acceptable solution can now be put to the liquidator so a meeting of creditors might be called."

Airline chairman David Lenigas says: "We see a real opening in the Southern African marketplace for a true low cost airline such as Fastjet right now and although we have met with stiff opposition from other South African carriers, we feel that the South African flying public will be the true beneficiaries of the added seat capacity we intend to offer."

Earlier this month Fastjet was given seven more months to complete a takeover after an extension by 1time's court-appointed liquidators, Tshwane Trust.