The merger, which was announced by Public Enterprises Minister Pravin Gordhan in 2021, would see Takatso acquiring 51% of SAA's shares, while the government would retain 49%.

Takatso has committed to inject R3 billion over two years into the struggling State-owned airline, which emerged from a lengthy business rescue process in 2021.

The approval is subject to certain conditions, including the removal of minority partners in Takatso who are also involved in Lift, a low-cost airline that competes with SAA in the domestic passenger market.

The Competition Commission said this condition was necessary to prevent a reduction of competition and potential co-ordination between SAA and Lift.

The merger case will be heard by the Competition Tribunal in the country's capital, Pretoria, this Tuesday and Wednesday.

The Tribunal will then decide whether to approve the merger as is, approve it with conditions, or prohibit it altogether.

The merger has faced some challenges, including a complaint by the Special Investigating Unit (SIU) and a dispute between Gordhan and his suspended Director-General Kgathatso Tlhakudi over the sale of SAA for $2.81 to Takatso.

Takatso is a consortium of Harith General Partners, a pan-African infrastructure investor and developer, Syranix, a black-owned investment holding company, and Global Aviation, an aircraft leasing specialist and the parent company of Lift.

Harith has a track record of investing in large-scale infrastructure projects across Africa, such as Lanseria International Airport, Beitbridge Border Post, Lake Turkana Wind Farm, and MainOne.

--ChannelAfrica/SABC--