By: Natasha Archary
British Airways and Kulula may not get off the ground as Comair has failed in its bid to secure funding.
The company’s Business Rescue Practitioners (BRP) don’t believe anything can be done to save it.
Last week, Comair grounded both Kulula and British Airways flights, citing funding problems and said the airlines would be back once the matter is resolved.
However, in a notice issued on Thursday, 09 June, the company’s BRP no longer think it’s a viable option.
“Regrettably, the requisite funding could not be raised in order for the the company to continue with its operations. Accordingly, the company’s joint business rescue practitioners give notice herewith that they no longer believe there is a reasonable prospect the company can be rescued.”
Comair’s Joint Business Rescue Practitioners do not believe the company can be saved
Comair generates R5.3 billion in revenue annually and the news will mean more than 1 200 employees are left uncertain about their future.
CEO Glenn Orsmond says, “We have excellent staff, a modern fleet, good sales and distribution channels and low operating costs, which is why we believed the funding would be secured.
The company has been in business rescue for the last two years. There is now the possibility the company will undergo a liquidation process.
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