According to an outline today, the company will receive a $ 250 million State Guarantee Loan, along with an additional $ 150 million through share issuance.

• Benevol in the Corona

  Photo: 

  Moshe Shay

15 years after being privatized - Is El Al Thulam? After many months during which El Al's management tried to save the airline, on Monday, an outline was drawn that it would receive a $ 250 million state guarantee loan and another $ 150 million through stock issuance. If the public does not buy the shares - the company will pass to the state.

About 15 years ago, El was privatized by the state, and it is expected that the state will eventually have to buy the shares that will give it control of the company. Treasury officials explain that the state has no interest in controlling the company, and that the state trustee will represent it.

Reporter: Shimon Yaish // Photo: Shmuel Buchris

The resulting step has quite a few consequences and most importantly the loss of control of the Borovich family in the company. Shares that the state will buy will give it more than 60 percent in the company.

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In previous talks with Treasury officials, they have made it clear that the shares are expected to be sold after a pre-allocated time, and thus the state will remove control from the company within a few years. As yet, all the details of the outline are unclear, but after months of fear that El Bank will go bankrupt - the company will return to operations with the amount it needs to repair the tremendous damage caused by the Corona crisis.