South African carriers Airlink, FlySafair reach merger agreement

Johannesburg-based Airlink, the largest regional airline in southern Africa, and Cape Town-based Safair, parent of LCC FlySafair, have entered into a merger agreement under which Safair will be acquired by Airlink. Safair is wholly owned by Dublin-based ASL Aviation Holdings, which will become a minority shareholder in Airlink following the merger. Airlink, FlySafair and Safair’s other businesses, including humanitarian aid and cargo flights, will retain their brands, aircraft fleets and management teams after the merger, which the companies said would not result in any job losses. The two companies will submit their merger plan to South Africa’s Competition Commission Nov. 28 for approval and anticipate a decision during the 2018 Q1. Airlink CEO Rodger Foster said that the merger is being pursued to take advantage of “opportunities to reduce our combined costs, position ourselves for growth while at the same time increasing connectivity.” He added: “Our combined networks will enable us to connect 37 destinations in nine southern African and Indian Ocean countries and St. Helena. This will stimulate and enable trade, tourism, economic growth and social development in those markets we serve.”<br/>