Airports South Africa builds defense against pandemic resurgence

Airports Company South Africa is looking to generate more income from hotels and land, win service contracts and boost cargo revenue to prepare for a potential fresh wave of Covid-19 infections and restrictions. The state-controlled owner of international hubs including Johannesburg and Cape Town fears a new coronavirus variant may emerge that is vaccine resistant, CEO Mpumi Mpofu said Tuesday. Alternative revenue streams are therefore vital to ensure the ongoing financial health of the airports group, she said. “It’s the most unpredictable factor,” the CEO said. A variant that undermines inoculations will send the whole industry “back to square one.”South Africa’s aviation and tourism sector received a boost this month when the U.K. took the country off its list of banned countries and the U.S. opened borders to vaccinated travelers starting Nov. 8. That may lead to an influx of holidaymakers over the southern summer months and see a stronger season than thought possible in July, Acsa said in an earlier earnings statement. Even so, preparations for a less favorable scenario are under way, Mpofu said. “We have an intention to monetize non-core assets, which does not necessarily mean disposals,” she said. “We have hotels, land and facilities at airports.”<br/>