Dan Transportation Set to Acquire Tnupha Bus Company for $150 Million
Translated & summarized from Channel 13 by baba
Dan Transportation is in advanced talks to acquire Tnupha for 150 million shekels, following a report on Tnupha's severe service issues and a ultimatum from the National Public Transport Authority. Approximately 30% of Tnupha's buses are non-operational, leading to frequent cancellations and passenger complaints. The deal requires approval from the Ministry of Transportation and the Competition Authority, and is seen as a positive development by affected residents.
The story in 5 lines · by baba
- Dan Transportation is set to acquire Tnupha for 150 million shekels amid service failures.
- About 30% of Tnupha's 420 buses are out of service due to malfunctions.
- The National Public Transport Authority gave Tnupha an ultimatum: sell or lose routes.
- Tnupha was recently ranked Israel's worst public transport operator and faces 80 million shekels in fines.
- The acquisition aims to improve public transport for residents in Samaria and the Jerusalem corridor.
Dan Transportation is reportedly nearing a deal to acquire Tnupha, a bus company facing significant operational issues, for approximately 150 million shekels. This potential acquisition follows a recent investigative report by Channel 13 News that highlighted severe service disruptions and passenger distress caused by Tnupha's malfunctioning fleet.
Sources indicate that both Dan and Tnupha have informed the Ministry of Transportation about the preliminary agreement, though the deal's finalization is contingent upon approval from the Ministry and the Competition Authority. The situation at Tnupha has been dire, with about 30% of its 420 buses, roughly 140 vehicles, out of service due to technical faults. This has led to a 5% to 10% reduction in scheduled trips, causing frequent cancellations and hardship for passengers in the Samaria region, Mevaseret Zion, and the Jerusalem corridor.
Idan Moalem, Chairman of the National Public Transport Authority, had issued an ultimatum to Tnupha: either sell the company or lose its routes to other operators. This pressure significantly accelerated the sale negotiations. Tnupha, whose owners include veteran Likud figures Itzik Koifman and Aryeh Shasha, was recently ranked as Israel's worst public transport operator, receiving a low score and accumulating fines totaling around 80 million shekels.
The news of the potential acquisition has been met with cautious optimism by residents and local authorities. Yair Shavbon, Mayor of Ariel, stated that Ariel residents have long suffered from inadequate public transport and that the sale of Tnupha is an important development after years of advocacy for fundamental change.
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