|
Comair, the South African operator of British Airways flights, has grounded all of its planes after running out of cash, the company said.
London-listed International Consolidated Airlines Group SA owns British Airways.
The carrier, which is under administration, also operates budget airline Kulula. Those planes are also grounded, with tickets sales for both airlines suspended.
Comair's administrators ‘have advised that the process to raise the necessary capital is in progress and that there is reason to believe such funding may be secured,’ the company said in the statement late Tuesday.
‘Once received, the airline will be able to recommence operations, but regrettably under these circumstances, the practitioners have no choice but to voluntarily suspend all scheduled flights until the funding is confirmed,’ it added.
In May 2020, at the height of pandemic lockdowns, Comair filed for voluntary business rescue a procedure similar to bankruptcy protection in order to restructure the company.
By February this year, the company had regained a 40% market share and resumed most flights.
South African aviation officials had suspended Comair's flights for five days in March over safety concerns, dealing a new blow to the company.
The South African regulator suspended the airline after an investigation uncovered issues posing ‘an immediate risk to safety and security’. Comair flights experienced a spate of issues over the month of March, according to the SACAA, including engine trouble and landing gear malfunctions.
source: AFP
Copyright 2022 Alliance News Limited. All Rights Reserved.
|
