Full coverage· Economy· Updated 5 Nov, 13:41

Arkia Owners Offer Sale to Rival Israir Amid Financial Woes

Israeli airline Arkia's owners have approached rival Israir with a proposal to sell the company, which is facing estimated annual losses of $30 million to $40 million. Tensions exist between the owners, the Nakash family, and CEO Oz Berlovitz, who the owners seem to blame for the company's financial difficulties.

2 newsrooms · 2 languages · since 5 Nov, 10:15

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What happened

01Arkia's owners have approached rival Israir with a proposal to sell the airline amid mounting losses.
02The airline faces estimated annual losses of $30 million to $40 million.
03Tensions exist between Arkia's owners, the Nakash family, and CEO Oz Berlovitz.
04Israir confirmed a preliminary meeting but stated no due diligence has been conducted.
05Employees own 20% of Arkia's shares, complicating potential sale negotiations.
06Previous merger attempts involving Arkia have failed, partly due to competition concerns.

Israir has confirmed a preliminary meeting but no due diligence has been conducted. Employee ownership of 20% and disagreements over a restructuring plan are significant obstacles to any sale.

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Summarized by baba from Ynetnews, the latest report. Read Ynetnews’s original