Mango Airlines announced on June 4 that it could restart operations as it is in the final stages of concluding a transaction with the selected investor.
Last year, Tourism Update confirmed that the investor was Ubuntu Air Services, a partnership between South African tour operator, AfricaStay, a specialist in Indian Ocean holidays, and DG Capital.
The airline is in the process of confirming unflown tickets and vouchers that were purchased but not used after the suspension of operations in 2021.
If the transaction with the investor is successful, those with unflown tickets will receive a voucher equal to the value of the unused ticket, which will be usable when Mango resumes flights.
If the transaction is unsuccessful tickets will be treated as a creditor claim in business rescue, and passengers will receive a dividend payout that will cover a portion of the total ticket/voucher value.
To verify unflown tickets, passengers must submit the information on the Mango verification portal, which is open until September 1. Submissions received after the deadline will not be accepted.
A brief background
Mango entered business rescue in June 2021 and subsequently suspended operations on June 27, 2021. Since then, it has been engaged in a lengthy process to secure new investment and resume operations.
In 2023, business rescue practitioner, Sipho Sono, took legal action against the Department of Public Enterprises, South African Airways Soc Ltd, the Minister of Finance, the National Treasury, the International Air Services Council and the Air Services Licensing Council. The aim was to secure approval to sell Mango outright to an investor. The court ruled in favour of Sono, allowing the transaction to proceed.
In March last year, it was revealed that the investor was Ubuntu Air Services. However, Mango’s licences were cancelled late last year, prompting the investor to seek a partnership with an airline that already holds the necessary licences and an Air Operator Certificate. As a result, Sono and the investor have been working on a revised business model.
