From Business Day Live

Loss Making South African Airways (SAA) is considering a stake in a Togo-based airline as part of a strategy to develop its West African business.

An SAA team would visit Ghana early next month to assess that country’s potential as a regional hub for SAA-operated flights, SAA CE Monwabisi Kalawe said this week. Setting up a hub in the region is one of the key points for the airline’s long-term turnaround strategy.

Kalawe said the trip was at the invitation of Ghanaian aviation officials, after they had signed an agreement for the Airports Company SA (Acsa) to upgrade airports there.

One of the options under consideration is to partner with Ghanaian investors in acquiring part of Asky, which operates out of the Togolese capital, Lomé, and relocate it to Accra.

Asky (pronounced A-Sky) began commercial operations in 2010, having been formed at the instigation of West African states following the collapse of pan-African airline Air Afrique.

Shares in Asky are held mainly by private-sector investors, although the presence of Ethiopian Airlines as a strategic shareholder could be an obstacle to SAA’s plans.

The Ethiopian national carrier is the fastest-growing African airline and is SAA’s most potent Africa-based competitor.

Written by David Furlonger/Read more at Business Day Live