TENDERS for the
privatisation of South
African Travel Centre
are expected to be called
for within a matter of
weeks, conrms SATC ceo,
Bulelwa Koyana.
“SAA has engaged
transactional advisers who
have been working closely
with the team of crossfunctional
experts assigned
to this project. Much of
the preparatory work has
already been completed –
from the assessment of
the impact on stakeholders
such as SATC’s
franchisees and staff – to
considerations of the ideal
structure of the transaction,
all in accordance with a
sound commercial and
regulatory framework. We
expect to open up the
process within a matter of
weeks,” she says.
“There has been interest
in SATC from a number of
industry players in the past
few years. However, at this
stage it is still too early to
determine which parties
would be expressing their
interest through the formal
process,” she adds. SATC
posted about R1,2bn in
group sales last year, with a
growing franchisee base in
South Africa and other parts
of Africa. However, Bulelwa
says the nal selling
price will be determined
by the valuations of the
organisations, which will
choose to bid for the
business.
It is envisaged, she says,
that SATC will retain its
current branding as its
association with SAA makes
it attractive to independent
travel agents and TMCs,
particularly those outside
South Africa. The group’s
strong transformational
agenda is also expected to
remain in place.
Bulelwa says SATC’s global
afliation with Lufthansa
City Centre – in place
since last year and yielding
positive results – will not
necessarily be affected
by the sale. “This is one
of the aspects that would
be deliberated with the
interested parties.”
She says existing preferred
partner agreements remain
in place at this stage.
“The change in ownership
from SAA to a new
shareholder will open
up new opportunities for
SATC. SATC recognises
the important role of its
preferred partners in the
future of the consortium and
so consultations with these
partners will form part of
the process.”
