Standard Bank has committed a R9 billion debt facility to fund Sihamba Sonke Mobility (SSM), following its appointment as the Gautrain’s new operator.
The appointment officially ended the 19.5-year concession held by the Bombela Concession Company, which had been due to expire in March 2026.
Bombela Operating Company continued running the Gautrain under a six-month holdover arrangement while negotiations with the preferred bidder were finalised.
SSM will operate the Gautrain for the next 15 years, with a renewed focus on investment and modernisation to enhance the passenger experience.
Gautrain Management Agency CEO Tshepo Kgobe said the procurement process to appoint the new concessionaire took several years.
“A lot of people tend to see a concession and think that it’s a few months,” Kgobe said. “The PPP regulations, which is regulation 16 of the PFMA, is very exact about these things.”
According to Kgobe, the SSM consortium demonstrated during the tender process that it could meet the requirements, including a commitment to match the previous concessionaire’s operating run rate.
He said under the new concession, French rail group Alstom will manufacture and supply eight new four-car trains for the Gautrain.
The trains will be built locally at Alstom’s Ubunye facility in Gauteng, increasing the Gautrain fleet from 24 to 32 trains.
The failure to include the taxi industry as a strategic partner in the bidding consortium represents another missed opportunity for taxi operators.
National Taxi Alliance (NTA) spokesperson Theo Malele said the industry neither formally participated in the bidding process nor held any stake in the winning consortium.
Malele said the Gauteng government should have ensured that the taxi industry was included in the winning Gautrain consortium.
“It is ironic that the government, which is expected to drive transformation, is neglecting its responsibility to uplift Blackowned businesses in the transport sector by excluding the taxi industry,” he said.
“This clearly does not reflect a transformation agenda. Some politicians, their associates and white business partners may be benefiting. It is deeply disappointing, and history will judge us harshly,” Malele said.
Fact sheet:
The SSM consortium comprises the following key participants and shareholders:
- AIIM-Motseng Joint Venture: A partnership between African Infrastructure Investment Managers (AIIM), owned by Old Mutual, and the Motseng Group, which is 95% women owned and led.
- Alstom: A global French rail and smart-mobility manufacturer responsible for engineering, procurement, construction and fleet modernisation scope.
- RATP Dev: A French public transport operator with extensive local and international experience in passenger rail operations.
- GIBB-Crede: A South African engineering and infrastructure advisory company.
- AIH Connect (AWCA Investment Holdings): A Black women-owned investment holding company.
- SSM InvestCo: A broad-based Black Economic Empowerment (BEE) vehicle that enables Gauteng residents to acquire direct equity stakes.
