Harith gets Competition Tribunal green light on FlySafair deal

The acquisition is now set to be closed by the end of this year. Sandton-headquartered Harith Aviation secured final approval from the Competition Tribunal to proceed with its 100% acquisition of FlySafair, the group confirmed on Thursday morning. “Harith Aviation Consortium welcomes [the] Competition Tribunal decision on the FlySafair acquisition,” it said in a statement. The deal is now set to be closed by the end of this year. FlySafair is South Africa’s biggest domestic airline and a major African regional airline. Following the Covid-19 pandemic’s economic fallout, which saw several local and international airlines enter business rescue or fail, Harith unsuccessfully tried to acquire the state airline, SAA (via the Takatso Consortium). On Thursday, Harith said the deal “brings long-term South African investment into a successful local airline, keeping ownership in SA” and reflects its commitment to supporting the country’s economic development by expanding critical infrastructure. “For FlySafair, it will be business as usual as the airline will continue to operate independently under its existing management team and retain its low-cost operating model and customer offering,” it added. “This transaction represents far more than an investment in an airline… It is a demonstration of long-term South African capital backing a successful South African business,” said Sipho Makhubela, CEO of Harith General Partners. “FlySafair has built an exceptional airline with a trusted brand, strong management team and market-leading customer proposition. Our role is to support that success with patient capital while enabling the next phase of growth,” he said. “We are pleased with the Competition Tribunal’s decision. It is a significant milestone for the transaction and reflects confidence in the future of the airline,” said Elmar Conradie, FlySafair’s CEO. “We are excited about the road ahead with our incoming shareholder, and about the opportunities to strengthen our foundations and to grow the South African passenger aviation market. “Throughout this process, it has been business as usual for our customers and our people, and that continues. As the remaining conditions are met, we look forward to embarking on a new chapter for FlySafair,” he added. “Harith Aviation Consortium’s investment in FlySafair recognises aviation as an important driver of connectivity and economic activity. Reliable and affordable air travel expands access to opportunity, supports tourism and trade and contributes to broader economic growth,” Makhubela pointed out. Harith said that following the Competition Tribunal’s approval, the parties are progressing with the remaining regulatory approvals and conditions precedent required for the implementation of the transaction, without citing them. “Subject to receipt of the outstanding approvals and satisfaction of the remaining conditions precedent, the transaction is currently expected to close in late 2026,” it noted. This article was republished from Moneyweb. Read the original here.