Harith General Partners Targets Majority Stake in FlySafair – Can the Low Cost Travel Stay?
South Africa’s largest low-cost airline, FlySafair, is poised for new ownership as Harith General Partners moves to acquire the dominant...
Quick overview
- Harith General Partners is set to acquire FlySafair, South Africa's largest low-cost airline, as part of its expansion in transport investments.
- The acquisition is subject to regulatory approvals, including antitrust clearance and licensing from aviation authorities, and is expected to conclude by the fourth quarter.
- FlySafair currently faces regulatory challenges due to ownership structure issues, and the acquisition may help address these compliance concerns.
- The airline has recently strengthened its market position with promotional campaigns, making domestic air travel more affordable for South Africans.
South Africa’s largest low-cost airline, FlySafair, is poised for new ownership as Harith General Partners moves to acquire the dominant domestic carrier.
Harith Steps Into Aviation
South African private equity firm Harith General Partners has agreed to acquire budget airline FlySafair, marking a significant expansion of its transport investments across the continent. Harith, which manages approximately $3 billion in assets, will execute the transaction through Harith Aviation.
According to Harith Chairman Tshepo Mahloele, the deal is at an advanced stage but remains subject to regulatory approvals. These include clearance from antitrust authorities and two aviation licensing bodies. The transaction is expected to conclude by the fourth quarter, pending approval. Harith previously made headlines with an attempt to take over South African Airways, underscoring its long-standing interest in the aviation sector.
Regulatory Pressures Drive Ownership Shift
The acquisition could play a key role in resolving regulatory challenges facing FlySafair. The airline currently controls more than 60% of South Africa’s domestic seat capacity, making it the country’s largest domestic carrier.
However, in 2024, the Domestic Air Services Council ruled that FlySafair was in breach of ownership regulations. Authorities found that trusts and companies — rather than individual South African citizens — held 75% of the airline’s voting rights. The carrier was given approximately one year to comply with local ownership requirements or risk losing its operating license.
A transaction with Harith may help address these concerns, though FlySafair will still need to follow due regulatory processes. Chief Marketing Officer Kirby Gordon noted that while a deal could assist in resolving permit issues, compliance procedures must still be completed.
Affordable Travel Gains Momentum
The ownership developments come as FlySafair has been strengthening its position with consumers. In January, the airline launched a promotional campaign offering flights from as little as R373, generating widespread attention across social media and travel platforms.
The aggressive pricing initiative provided welcome relief for South Africans grappling with rising living costs. Domestic air travel, often viewed as a discretionary expense, became significantly more accessible through the promotion, reinforcing FlySafair’s brand as a cost-conscious market leader.
If finalized, the Harith acquisition would represent one of the most significant shifts in South Africa’s aviation landscape in recent years, combining regulatory realignment with strategic investment in a dominant low-cost carrier.
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