The Post Office’s business rescue practitioners have cleared another hurdle in their bid to steer the state-owned entity away from a messy liquidation.
On Thursday, the group’s creditors voted to approve a business rescue plan which includes retrenching 6 000 of the company’s 11 000 employees and closing around 420 loss-making branches.
The rescue plan, first published by joint business rescue practitioners Anoosh Rooplal and Juanito Damons last month, is contingent upon a new R3.8 billion state-funded bailout.
“We thank those creditors who voted in favour of the plan,” said Rooplal on Thursday.
“We believe that with our continued involvement, hard work and detailed strategy, we can restructure the Post Office into a future proofed business that can provide ‘communications inclusion’ for all South Africans.”
Rooplal said the rescue plan would be adopted in two phases over a two- to five-year period.
If the business rescue does not succeed, the Post Office risks being forced into liquidation.
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