In a report tabled before Parliament on Friday, Gigaba said he will provide details of the transaction when he delivers his medium-term budget statement later in October.
In August, a leaked Cabinet report indicated that Treasury was looking to sell Telkom shares to fund its bailout to SAA.
But this week, Telkom withdrew its cautionary announcement to this effect.
Treasury has already transferred more than R5 billion to the airline since June.
It's expected that Gigaba will be asking Parliament to condone at least another R5 billion to keep lenders at bay.
According to his report to Parliament, besides the R1.8 billion owing to Citibank, domestic lenders have agreed to extend the R5 billion owed to them until the end of October.
But the DA's Alf Lees says Parliament would not have approved the funds by then.
“The question of the legality now is something that the parliamentary legal office has to deal with.”
It remains to be seen what assets government plans to sell off, to pay the airline's debts as indicated in the Parliamentary report.