South African private equity firm Harith General Partners has agreed to acquire budget carrier FlySafair, as the investor with about $3 billion in assets expands its transport portfolio across the continent.
The deal for the country’s largest airline is at an advanced stage and is subject to regulatory approvals, including from antitrust authorities and two licensing bodies, Harith chairman Tshepo Mahloele said. The airline will be purchased through Harith Aviation, with the transaction expected to be concluded by the fourth quarter.
“Harith and its affiliates have entered into a sale and purchase agreement to acquire FlySafair, one of South Africa’s most successful and fastest-growing airlines,” the company said in a statement on Tuesday.
The acquisition is expected to help FlySafair address regulatory pressure related to South African ownership rules. The airline, which controls more than 60% of domestic seat capacity, was found in 2024 by the Domestic Air Services Council to be in breach of regulations after it emerged that trusts and companies rather than individuals hold 75% of its voting rights. The ruling followed a complaint by local rival Lift.
“The deal will make up about 15% of our overall portfolio and will be funded through a mix of equity and debt,” Mahloele said, without disclosing financial details. “South Africa is FlySafair’s stronghold and important to their strategy, and we believe their model can also be competitive regionally.”
FlySafair was given about a year to comply with ownership requirements or risk having its operating licence revoked. While the deal could help resolve permit issues, the airline still needs to follow due process, FlySafair chief marketing officer Kirby Gordon said.
Dublin-based ASL Aviation Holdings, owned by London private equity firm Star Capital Partners, currently has partial control of the airline’s parent company, Safair Operations (Pty) Ltd. The transaction will lead to a planned reorganisation within the ASL Aviation Group to simplify its shareholding structure and align ownership of its South African business, Mahloele said.
Harith is expected to proceed with a full takeover of Safair Operations as part of the process.
The firm had previously explored buying a stake in national carrier South African Airways, but that deal was terminated after three years of negotiations due to disagreements over control and pricing. Harith also considered acquiring a stake in Comair Ltd., the local operator of British Airways flights, before the airline collapsed in 2022.
“In the end, the FlySafair opportunity has been the best proposition so far,” Mahloele said. “There is a great management team and it holds significant market share.”
Harith invests in infrastructure across Africa and also owns a stake in Lanseria International Airport, northwest of Johannesburg.
FlySafair has been seeking changes to its ownership structure since 2017. It previously reached a merger agreement with SA Airlink, but antitrust authorities blocked the deal in 2018. Qatar Airways later acquired a 25% stake in SA Airlink in 2024.
Harith plans to maintain FlySafair’s existing management and strategy. The airline currently operates 10 domestic and five regional routes.
“Our regional expansion began just after Covid,” Gordon said. “While it is small relative to the South African domestic market, it forms an important part of the airline’s long-term expansion plans.”
