FastJet keen to take on SAA
Fastjet is considering expanding in South Africa as new chief executive officer Nico Bezuidenhout evaluates growth opportunities for the unprofitable discount airline and says the continent''s most industrialised economy is too big to stay out of.
While the Africa-focused carrier already connects Johannesburg with its hubs in Tanzania and Zimbabwe, it has no internal services in South Africa.
The market “cannot be ignored,” Bezuidenhout, 40, said in an interview in Johannesburg, where he''s relocating Fastjet''s headquarters from London after joining the company in August.
Bezuidenhout said he''d like to make progress in South Africa next year. “Would we consider entering a joint venture agreement?” the CEO said. “Would we consider M&A activity or would we consider partnering with somebody and doing a greenfield operation? I think all of those options are on the table.”
“The South African aviation market is reasonably overtraded,” Bezuidenhout said. “When one enters this market you have to do it carefully and in a considered and measured manner. So we are working on developing that plan.”
Fastjet is also evaluating expansion in other markets in southern Africa, though Bezuidenhout said it will resist deploying excess capacity by adding routes too quickly, describing that as “the quickest way that you drive an airline into the ground.”
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While the Africa-focused carrier already connects Johannesburg with its hubs in Tanzania and Zimbabwe, it has no internal services in South Africa.
The market “cannot be ignored,” Bezuidenhout, 40, said in an interview in Johannesburg, where he''s relocating Fastjet''s headquarters from London after joining the company in August.
Bezuidenhout said he''d like to make progress in South Africa next year. “Would we consider entering a joint venture agreement?” the CEO said. “Would we consider M&A activity or would we consider partnering with somebody and doing a greenfield operation? I think all of those options are on the table.”
“The South African aviation market is reasonably overtraded,” Bezuidenhout said. “When one enters this market you have to do it carefully and in a considered and measured manner. So we are working on developing that plan.”
Fastjet is also evaluating expansion in other markets in southern Africa, though Bezuidenhout said it will resist deploying excess capacity by adding routes too quickly, describing that as “the quickest way that you drive an airline into the ground.”
NEWS24
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