South African Minister Appeals Court Order on Mango Sale Decision

South Africa’s Public Enterprises Department is appealing a court-ordered October 6 deadline to decide on a bid for Mango Airlines, denying any intention to stall or undermine the potential rescue of the state-owned budget carrier.

On October 2, the department stated that the appeal aims to ensure transparency, legal soundness, and the best interests of the South African public. It emphasized that the move is not a tactic to stall or undermine Mango’s business rescue process.

The South African High Court in Pretoria had given Public Enterprises Minister Pravin Gordhan 30 days to approve or reject a ZAR326 million (USD17.25 million) binding offer for Mango from the Ubuntu Air Services consortium. The court deemed Gordhan’s 10-month delay unreasonable and unconstitutional, prompting Mango’s business rescue practitioner, Sipho Sono, to take legal action.

Despite legal advice, Gordhan insists he needs additional information, including a detailed business plan, comprehensive due diligence, and foreign ownership details. Sono maintains that he has already supplied all required information and that, under the South African Companies Act, the preferred bidder choice lies with the business rescue practitioner. The High Court supported this stance, ordering the minister to act based on the available information.