Interceptions of the Iron Dome in the northern sky/Walla system!
The Commissioner for Competition wishes to impose on the Rafael Company a payment of NIS 3.012 million to the state coffers.
This is because it completed the merger with the unmanned aircraft manufacturer Aeronautics without waiting for the supervisor's approval, in violation of the law.
Formally, the payment is equally imposed on Rafael and Aeronautics, but because the latter has already been swallowed up by Rafael, it will be forced to bear the entire payment.
In her notice to the Competition Tribunal, the Commissioner states that subject to the approval of the order agreed upon by the Tribunal and subject to said payment by the companies, the Commissioner will not take any enforcement measures against Rafael or Aeronautics or anyone on their behalf, including their officers, employees and managers, and any company under their control.
Rafael purchased the unmanned aircraft manufacturer 5 years ago, together with businessman Avichai Stolero.
It was an unusual transaction, in which a large defense industry purchased a private company, together with a private businessman.
Rafael was eager to enter the field of UAVs where its two local competitors, IAI and Elbit, had become two of the most prominent manufacturers in the world and paid a 70% premium for Aeronautics shares to their price on the stock exchange at the time
. Saara" for the purchase of a new rapid intelligence gathering system in which small UAVs such as those produced by Aeronautics will play a central role.
The move was successful and Rafael won it, as the Iron Swords War is the first significant campaign in which the IDF operates the new formation of the Spark UAVs, which is operated by the Air Force.
"Tamir" missile, an Iron Dome interceptor.
A wave of orders following the war/Raphael
The purchase in partnership with Stolero allowed Rafael to shorten the long approval process for the move carried out by a government company, but according to the State Comptroller's report it caused a loss of NIS 161 million. -450 million shekels.
The purchase spawned not only an investigation by the Commissioner of Competition, but also an examination of the connections between Stolero and Rafael.
For Rafael, this is an immaterial amount. The company is expected to publish in the coming days its annual report for 2023, which will show an increase in orders and sales, some In the effects of the war, which is expected to have a more significant impact on its results in 2024, following a wave of orders from the Ministry of Defense and the replenishment of Iron Dome's Tamir interceptor stock following those launched in the war.
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