... as Apron Services privatisation draws closer
Alan Peat
THE "PRIVATISATION" of Apron Services - SA Airways' ground handling facility - should be close to wrap-up in about six months, according to marketing director, Bob Gurr.
The Public Enterprises department, he told FTW, was keen to get things settled as soon as possible and the field now looked clear for the final run-in.
This followed some two years of legal bickering which has delayed the process twice now.
First when equity group, Equity Alliance, threatened legal action when it was disclosed that SAir - which holds a 20% stake in SAA - would be a preferred bidder.
That was settled, but the second glitch arose when Apron Services tendered for, and was awarded, one of two ACSA (Airports Company of SA) licences.
Swissport - the Sair outfit that controls about 20% of the SA ground handling - objected, and won its case.
Transnet is
looking for potential bidders
"In this business," said Gurr, "you are nothing if you don't have a licence. Nobody's going to invest in a company - no matter how good it is - if it doesn't have a licence to operate."
And the Apron Services ACSA licence was null-and-void, Gurr added, after this court case.
Since last year, the company has existed on a month-to-month basis, he added, while it waited for Swissport and ACSA to reach an agreement.
This they have done, Gurr told FTW, and the new Apron Services' licence takes effect from May 1.
"Transnet," he said, "is now looking for potential bidders as a strategic equity partner (s.e.p.)."
This in a proposed shareholding for the "privatised" operation, with the government retaining a 55% stake; the s.e.p. holding 30%; 10% for an empowerment investor; and 5% for staff.
Questioned on who the main contenders would be, Gurr refused to name any favourites.
There were two major ground handling companies in a global sense, he told FTW. "One the Lufthansa operation," he said, "the other Swissport."
Apart from these there were only "a handful" of others.
"But we have to wait for tenders before we know who will be in the hunt," said Gurr. "Some six months down the road, things should be a bit clearer."
