South Africa’s CemAir moves to block Harith’s FlySafair acquisition

South African airline CemAir has asked the Competition Tribunal to prohibit Harith General Partners’ proposed acquisition of FlySafair, escalating a dispute over competition and access to aviation infrastructure.

CemAir argues that any approval should include structural safeguards to protect FlySafair’s commercial and operational independence from Lanseria International Airport and related aviation infrastructure interests.

Advocate Dwight Snyman, representing CemAir, told the tribunal Monday that behavioural remedies should only be accepted if they can be measured, independently monitored and quickly enforced.

He said possible safeguards could include independent airport governance, removing common directors, enforceable information firewalls, transparent slot and tariff rules, equal-access requirements, independent monitoring and a rapid dispute-resolution process.

Competition Commission sets conditions

Harith recently secured regulatory approval from the Competition Commission for the transaction, moving the investment firm closer to taking control of FlySafair, one of South Africa’s largest low-cost airlines.

The commission recommended that the Competition Tribunal approve the deal subject to conditions linked to Harith’s interest in Lanseria International Airport.

Those conditions include measures governing information sharing and requirements that airline and airport-related goods and services at Lanseria are not supplied to competing airlines on unfair, unreasonable or discriminatory terms. The tribunal must now consider CemAir’s objections alongside the proposed remedies.

Harith’s African infrastructure portfolio

Founded in 2006 and chaired by Tshepo Mahloele, Harith General Partners is a Pan-African infrastructure investment firm with more than $1.2 billion in assets under management.

Based in Sandton, the firm invests across strategic sectors including energy, transportation, digital infrastructure, health care and water. Its portfolio includes infrastructure projects designed to improve connectivity and support economic development across Africa.

FlySafair expands low-cost network

Established in 2014, FlySafair has become a major force in South Africa’s domestic aviation market. The airline operates a fleet of 36 Boeing aircraft and serves 15 destinations, including international routes to Mauritius and Zanzibar.

Backed by more than five decades of aviation experience through Safair Operations, FlySafair has built its business around low fares, operational reliability and punctuality.

CemAir defends competition

Founded in 2005, CemAir is a privately owned South African airline headquartered at O.R. Tambo International Airport in Johannesburg.

It operates scheduled and charter services linking major business and leisure destinations with smaller regional markets across South Africa, Botswana and Zimbabwe.

The airline’s challenge places competition at the center of Harith’s proposed FlySafair acquisition as South Africa’s aviation market continues to attract infrastructure and investment capital.