R12.5bn debt headache for SA Post Office business rescue practitioners
Since stepping in at Sapo two months ago, BRPs have managed to restore medical scheme contributions and keep staff salaries steady, but there’s a long road ahead. BRPs will need to improve revenues and attain an efficient cost structure for the entity to achieve a successful business turnaround. This is predicated on arresting the #cashflow bleed while also allocating capital for Sapo to deliver services. With R12.5bn in debt, this will rest on receipt of additional funding from the government.