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Comair files for liquidation

On 1st June 2022, Comair voluntarily suspended all Kulula and British Airways flights in South Africa until it was able to secure additional funding.

Unfortunately, as of Thursday, Comair’s business rescue practitioners (BRPs) have announced that the firm was unable to secure the funding needed.

“Regrettably, the requisite funding could not be raised in order for the Company to continue with its operations,” wrote Neil Hablutzel and Richard Ferguson, Business Rescue Practitioners for Comair wrote in an announcement [PDF].

The BRPs went on to say that they no longer believe that there is a reasonable prospect that the company can be rescued.

Ferguson told News24, “It is an extremely sad day for the company, its employees, its customers and South African aviation”.

The publication also reports that an urgent application for provisional liquidation of Comair has already filed and will be heard as an urgent matter on 14th June.

As for the matter regarding the Kulula sale on 31st May, the airline said on Twitter that all customers who confirmed travel via the sale have been refunded.

“If funds have not reflected in your account within seven working days, please contact your issuing bank to enquire,” Kulula wrote.

We mirror the sentiment of Ferguson. Having been operation since 1946, Comair was hit hard by the lockdown having entered business rescue less than two months after South Africa’s government introduced rules that restricted travel.

Of course, that isn’t the only reason Comair has now decided to liquidate, but we can’t help but feel it was a main driver that got us to where we are today.

[Image – CC BY SA Alan Wilson]

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