Nico Bezuidenhout, who has been at the helm of South African Airways (SAA)'s low-cost unit, Mango, since its inception 10 years ago, announced his resignation this month. Bezuidenhout will take over the reins at Fastjet, the London-listed low-cost carrier that focuses on Africa.
Colin Child, the chairman of Fastjet, said that the airline was delighted to have Bezuidenhout aboard. "He brings strong commercial and strategic skills and a wealth of experience of operating a low-cost carrier," Child said. "This experience, together with his detailed knowledge of the markets in which Fastjet operates, will be invaluable to the company as it seeks to capture the growth opportunities in the region."
Fastjet has known its fair share of trouble during the past few months. The low-cost carrier issued no less than three profit warnings this year, warning that its 2016 results would likely be below market expectations. However, the Fastjet share price jumped up 66% when the airline announced Bezuidenhout's appointment.
Bezuidenhout is confident he will be able to turn the airline around.
"Fastjet has had challenges, but not of an insurmountable nature. There is tremendous opportunity in Africa, in particular for low-cost airlines," he said. "I have always been hands-on in my approach to managing an airline, or in fact, any business, and my intention is the same at Fastjet. The key to a successful airline is the relationship between managing input cost, commercials, network and distribution."
Although Bezuidenhout said he is prudent with his approach to growth, he added that continental growth is forecast to average well above 4% over the coming years and with it, aviation should track GDP closely as it naturally does. "Fastjet was the first and will remain the leader in pan-African low cost travel, and growth in both network, distribution and commercials will be at the top of my agenda," he said.