Mango Airline Sold: SAA to Get Nominal Fee as New Owners Take Over

Mango Airlines, the South African low-cost carrier grounded since July 2021, is on the verge of resuming operations. This follows its sale to new private owners. The transaction has been in the works for several years and is now in its final stages. South African Airways (SAA), Mango’s current owner, will receive a nominal fee of about R1,000 as part of the deal.

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Background and Sale Process

Financial difficulties forced Mango to cease operations in July 2021, and the airline entered business rescue. Since then, the airline’s future has been uncertain. Its license was suspended in August 2022. The sale process has faced delays, notably due to SAA’s hesitance to approve the sale of shares agreement submitted in November 2022.

Sipho Sono, the business rescue practitioner appointed to manage Mango’s restructuring, confirmed that the sale is now moving forward. He explained that SAA will sell its shareholding in Mango for a nominal amount, reflecting the airline’s financial condition. Sono emphasized that the delay was mostly procedural and that the core details of the sale remain unchanged.

New Ownership and Operational Restart

The new owners, a private investor group, plan to lease aircraft to restart Mango’s flight operations. This approach aims to reduce upfront capital expenditure. It will also expedite the airline’s return to the skies. The sale agreement’s conclusion will transfer ownership from SAA to the private investor. This marks the end of Mango’s status as a state-owned entity.

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Customer Vouchers and Ticket Verification

As part of the sale and restart process, Mango has launched a verification portal on its website. Customers with unflown tickets from before the airline’s grounding can register their details. This allows them to claim vouchers equivalent to the value of those tickets. These vouchers will be redeemable once Mango resumes flights.

Should the sale transaction fail, the business rescue process will treat the outstanding ticket values as creditor claims. As a result, customers will receive partial payouts. The verification portal opened on 4 June 2025 and will remain active until 1 September 2025. This ensures accurate accounting of liabilities.

Legal and Regulatory Developments

The sale process faced legal challenges, including a court ruling in September 2023. This ruling required the Minister of Public Enterprises to make a decision on the sale within 30 days. Despite this, approval delays persisted. Sono and his legal team issued formal demands to SAA for timely responses.

The business rescue practitioner has since proceeded with the sale, citing the Public Finance Management Act. This act allows the sale to continue if the minister does not respond within a set timeframe. Labour unions and industry stakeholders, eager to see Mango revived, have welcomed this move.

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Outlook for Mango Airlines

Mango Airlines is preparing to re-enter the South African aviation market as the sale agreement approaches finalisation. This development is significant for domestic travellers seeking affordable flight options and for the broader aviation sector’s recovery post-pandemic.

Mango’s revival will depend on the successful completion of the sale, the operational readiness of leased aircraft, and regulatory approvals. However, the current progress signals a positive step towards restoring the airline’s services after nearly four years of inactivity.