Comair closer to take-off as creditors adopt business rescue plan

By Sizwe Dlamini Time of article published1h ago

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JOHANNESBURG – Comair on Friday passed another significant waypoint en route to returning to the skies when the vast majority of creditors and shareholders voted to adopt the business rescue plan.

The company said on Friday that in terms of the business rescue plan the preferred investment consortium, comprising a number of former Comair board members and executives, would invest fresh equity of R500 million in return for a 99 percent shareholding once the suspensive conditions set out the business rescue plan had been met.

It said Up to 15 percent of this would be allocated to a suitable broad-based black economic empowerment (BBBEE) partner within 12 months.

“During the next two months R100 million of this will be paid in two equal tranches as secured post-commencement finance. Additional funding from lenders of R1.4 billion

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