South Africa’s Competition Tribunal Approves Harith’s Acquisition of FlySafair

JOHANNESBURG — South Africa’s Competition Tribunal has conditionally approved the R7.0 billion (~$421.2 million) acquisition of Safair Holdings, the parent company of domestic low-cost carrier FlySafair, by infrastructure-focused private equity firm Harith General Partners through its specialized entity, Harith Aviation.

The approval follows the initial sale and purchase agreement executed in February 2026 and positive recommendations from the Competition Commission. The transaction is expected to reach final commercial close before the end of Q4 2026.

Harith, which manages approximately $3.0 billion (~R49.86 billion) in pan-African infrastructure assets, will fund the acquisition through a combination of debt and equity. The FlySafair asset will represent approximately 15% of Harith’s total portfolio.

Regulatory Compliance & Market Structure

The transaction resolves a critical regulatory impasse regarding foreign ownership limits enforced under South Africa’s Air Services Licensing Act:

• Ownership Compliance: In 2024, the Domestic Air Services Licensing Council found FlySafair in breach of statutory 75% local voting rights thresholds due to historical shareholding trusts. The acquisition by South African-owned Harith restores full regulatory compliance.
• Market Capacity Dominance: FlySafair operates a fleet of over 30 Boeing 737 aircraft, controlling more than 60% of South Africa's domestic airline seating capacity across high-density corridors including Johannesburg,Cape Town, and Durban.
• Infra-Aviation Integration: The deal creates strategic synergies with Harith’s existing transportation assets, which include a majority equity stake in Lanseria International Airport north of Johannesburg.

Merger Conditions & Governance

To address horizontal and vertical integration concerns regarding Harith's dual ownership of Lanseria International Airport and the country's primary domestic carrier, the Competition Tribunal imposed structural behavioral conditions:

• Non-Discriminatory Airport Access: Harith and Lanseria International Airport must guarantee non-discriminatory slot allocation, ground-handling access, and commercial fee structures for competing airlines.
• Operational Independence: FlySafair will maintain independent operations under its existing executive management team, retaining its low-cost operating model and brand identity.

The Intelligence Engine for African Private Capital

Access complete transaction breakdowns, fund strategy updates, and market commentary directly on our platform.