AIR TANZANIA is the subject of a $20m 49% recommended bid by South African Airways (SAA) subject to approval by the government of Tanzania. SAA has never previously acquired a stake in any airline outside its home country. The Air Tanzania investment provides the potential to contribute in the expansion of an East African market which has shown prospects for growth. SAA's Networking Africa strategy envisages close collaboration with a select number of African airlines. Through the acquisition, SAA intends to establish and develop a strong East African hub based on a Tanzanian branded and network carrier.