South African Airways (SAA) Cargo has appointed Menzies Aviation, the world’s largest aviation services company, to provide air cargo services at three airports in South Africa.
The airports are OR Tambo International Airport (JNB) in Johannesburg, Cape Town International Airport (CPT), and Port Elizabeth International Airport (PLZ). The appointment of Menzies is part of the ongoing restructuring process that SAA is implementing post-Business Rescue, and it followed a rigorous procurement process.
The first phase of Menzies’ appointment began on 1 December 2022, with the handling of all SAA Cargo terminal operations in Cape Town. The second phase will begin at OR Tambo in the coming weeks. The appointment of Menzies is an important milestone for SAA as it allows management to focus on critical strategic goals to grow its cargo business. Professor John Lamola, SAA Chairperson, and CEO said, “It is part of our efforts to re-position SAA Cargo and unlock the value of SAA Cargo terminals.”
The partnership between SAA Cargo and Menzies aligns with the strategy to grow Menzies’ footprint in Africa, where it sees huge potential for growth. Philipp Joeinig, Menzies Aviation CEO, said, “SAA is an important player in the cargo industry, and this partnership is a real game-changer for our business in South Africa as we are now based in the largest air cargo facilities in the country in the two main air freight ports.” This partnership aligns with Menzies’ long-term vision to strengthen its position as the leading aviation services provider in Africa.
SAA Cargo and Menzies are currently renovating the terminals at OR Tambo, Cape Town, and Port Elizabeth with sustainability in mind. Both companies are investing in electric vehicles and ground service equipment, solar energy, energy-efficient lighting, and a full recycling program to reduce their carbon footprint. These terminals will remain part of SAA’s property portfolio and are the largest domestically. OR Tambo has the capacity to handle 229,000 tonnes per year, while Cape Town has a capacity of 92,550 tonnes per year.
Menzies will move its existing and new business into the world-class cargo handling facilities. In August 2022, Kuwait-based Agility Public Warehousing Company completed the acquisition of Menzies in a deal valued at about $693.6m on a fully diluted basis. The appointment of Menzies by SAA Cargo will help unlock the value of its cargo terminals and provide the necessary support to achieve its strategic growth goals.
