Harith General Partners has signed a Sale and Purchase Agreement to acquire 100% of South Africa’s low-cost airline FlySafair. However, the deal is not yet final and remains subject to regulatory approval.
The proposed acquisition must first be cleared by the Competition Commission, which will assess whether the transaction could negatively affect competition in the domestic aviation market. FlySafair currently holds approximately 67% of South Africa’s domestic market share, making competition oversight a critical factor in the approval process.
In addition, the deal requires approval from aviation regulators, including the Air Services Licensing Council. FlySafair previously faced scrutiny over concerns regarding foreign ownership through Ireland-based ASL Aviation Holdings. The new transaction is intended to address those concerns by shifting the airline into full South African ownership.
Although Tshepo Mahloele is publicly associated with the deal, the acquisition is being executed through Harith General Partners, a Black-led private equity firm. Harith itself has institutional backing, including a 30% stake held by the Public Investment Corporation (PIC), which manages pension funds for South African government employees.
The ownership structure therefore reflects a combination of private Black capital and indirect state-linked investment.
If approved, the acquisition would mark a significant shift in the ownership of one of South Africa’s largest domestic airlines and could reshape the country’s aviation sector.
The timeline for completion will depend on the outcome of the regulatory review process.
Source: SA Forex Magazine
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