SA Express staff get the nod for buy-out bid

A group of former SA Express workers have received approval to bid for the airline.

A group of 691 former SA Express employees can now bid to acquire the struggling airline after being incorporated through Fly SAX, a special purpose vehicle (SPV). The group engaged equity crowdfunding platform, Uprise Africa, to assist them in raising the capital needed to save the airline from final liquidation.

SA Express flights have been grounded since March after rescue practitioners were unable to secure the post-commencement funding necessary to steady the airline while it was being restructured. In August, the airline was estimated to be worth at least R1.5 billion.

Uprise Africa, which will facilitate the capital raise for SA Express employees, has entered into a joint venture with ZARX, an alternative stock exchange. The vehicle offers project owners the opportunity to list shares on the stock exchange, while retaining their status as a private company.