CemAir warns Competition Tribunal over Harith, PIC FlySafair takeover

THE NEWS: CemAir has formally warned the Competition Tribunal that the proposed acquisition of FlySafair by Harith General Partners could distort South Africa’s national aviation market.

DETAILS:

• The deal involves Harith General Partners, an infrastructure investment firm led by Tshepo…, buying FlySafair, South Africa’s dominant low‑cost carrier.
• CemAir, a regional rival airline, is opposing the acquisition and has lodged a complaint with the Competition Tribunal.
• The opposition centres on the deep financial and structural links between Harith General Partners and the state‑owned Public Investment Corporation (PIC).
• Harith’s connection to PIC raises concerns about potential state influence over a major domestic carrier.

WHY IT MATTERS: If approved, the transaction could give Harith—and by extension the PIC—significant control over the low‑cost segment, potentially limiting competition, raising fares, and reshaping market dynamics for airlines, travel agents, and passengers across South Africa.

FAQ

What is the proposed transaction involving FlySafair?
Harith General Partners plans to acquire FlySafair, South Africa’s leading low‑cost airline, a deal that has prompted competition concerns due to Harith’s ties to the state‑owned Public Investment Corporation.

Why is CemAir opposing the FlySafair acquisition?
CemAir argues the purchase could distort the national aviation market because Harith General Partners has deep financial and structural links with the Public Investment Corporation, potentially giving the buyer undue market power.

Which state entity is linked to the buyer in the FlySafair deal?
The buyer, Harith General Partners, is closely connected to the Public Investment Corporation (PIC), South Africa’s state‑owned investment arm, raising regulatory scrutiny over the proposed acquisition.

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