The Limited Times

Now you can see non-English news...

New Owner To El Al: Eli Rosenberg Israel today

2020-09-16T21:16:50.959Z


| economyThe ultra-Orthodox businessman from Jerusalem purchased nearly half of the airline • In an IPO that ended last night, EL AL raised NIS 505 million • As part of the efficiency program, about 2,000 employees are expected to be laid off Photo:  Gideon Markovich The IPO ended yesterday evening, and the person who purchased about 43% of the largest airline in Israel is the ultra-Orthodox businessma


The ultra-Orthodox businessman from Jerusalem purchased nearly half of the airline • In an IPO that ended last night, EL AL raised NIS 505 million • As part of the efficiency program, about 2,000 employees are expected to be laid off

  • Photo: 

    Gideon Markovich

The IPO ended yesterday evening, and the person who purchased about 43% of the largest airline in Israel is the ultra-Orthodox businessman from Jerusalem, Eli Rosenberg.

Rosenberg, 29, is the owner of Eagles' Wings, which recently recruited Jason Greenblatt.

Another partner in the move is Ram Aminach.

El Al raised NIS 505 million as part of the public offering process, an amount that will allow it to obtain a loan from the banks more easily after they have refused loan applications from the company several times in recent times.

Upon completion of the IPO process, EL AL will apply to the banks to raise a loan of $ 250 million, the state will be a 75% guarantee.





It is likely that the banks will respond positively to the granting of the loan after accumulating difficulties in recent months.

The expectation for a change in the decision comes following the raising that took place yesterday as part of the share issue.

The controlling shareholder so far is the Borovich family through the "Wings" company, which will be diluted to about 15% of the company.





Rosenberg will hold 43% for just over $ 100 million.

The state purchased about 12% for about $ 34 million and the one who will continue to hold about 15% in the company is, as mentioned, "Wings" owned by Tami Borovich.

Today, everyone who has purchased more than 5% of the company will announce, thus obtaining a picture of the new shareholders of the largest airline in Israel.

El Al has quite a few debts, most of them to flight ticket buyers during the Corona period.

According to estimates, the company owes more than a billion shekels to the company's customers.

Destinations will be canceled

Now, as part of the efficiency plan, about 2,000 employees are expected to be laid off, the aircraft fleet will be reduced, unprofitable targets will be eliminated and activity with suppliers will be reduced.

El Al is expected to return to activity later this month with cargo flights, and later it is expected to start operating passenger flights gradually.

The market to which the company will return will operate differently from what it was aware of when it opened up the possibility of flying over Saudi Arabia and the expected entry of airlines from the UAE.

Eli Rosenberg's Eagles' Wings stated: "We take on an important national responsibility to lead El Al to a secure future.





"We place special emphasis on meeting schedules, improving the service experience for all customers, and upgrading the food served to passengers in all departments. Eagles Wings Aviation will be committed to the national challenges of the State of Israel and will proudly perform each mission with a blue and white flag and Star of David on the tail."

Tami Borovich's response could not be obtained.

Source: israelhayom

All news articles on 2020-09-16

You may like

Trends 24h

Latest

© Communities 2019 - Privacy

The information on this site is from external sources that are not under our control.
The inclusion of any links does not necessarily imply a recommendation or endorse the views expressed within them.