Independent airline companies Safair and SA Airlink revealed plans for a merger in which Airlink to acquire Safair.

In a joint statement the companies said that they will file an application at Competition Commission in order to receive approval for merger under the umbrella of Airlink group of companies.

Safair operates passenger and cargo service. The company has a large share of Africa's humanitarian-relief market and has provided specialised aviation services since its founding in 1965. In 2013, Safair launched the regional low-cost airline FlySafair in competition with the 100% SAA-owned Mango Airlines.

On the other hand, Airlink is the biggest independent regional airline found in southern Africa. It operates a feeder network that links regional centres and smaller towns in SA in strategic alliance with SAA. The carrier transports around 1.4 million passengers per year.

Sishen Iron Ore Company Community Development Trust owns around 32.5% following empowerment deal in 2012. Other shareholders include SA Airlink Investments CEO Rodger Foster, Coronation Capital, Barrie Webb and SAA (nearly 3%).

The merging entities said they intend to operate FlySafair and Airlink airlines as well as the other businesses of Safair separately under their own brands, retaining the respective fleets, products and management.

No job losses are expected as a result of the merger, which will not affect the franchise arrangement of Airlink with SAA, according to a joint statement.

Under the merger, ASL Aviation Holdings (Safair shareholder) will become minority shareholder of Airlink Group of companies.