Caspi Aviation, which represents foreign airlines, mostly from Eastern Europe, in Israel, is interested in the tender to acquire Arkia Airlines. Caspi Aviation, controlled by Aharon Meiberg, declined to comment on the report.
So far as is known, several consortia are interested in the Arkia tender, including one headed by former Eilat mayor Gabi Kadosh, one headed by David Ben-Ishai, and one headed by Daihatsu importer Rami Ungar. Knafaim-Arkia Holdings (TASE: KNFM) is not selling Arkia Leasing.
Antitrust Authority director general Dror Strum ordered Knafaim to sell its interests in Arkia when it took over El Al Israel Airlines (TASE: ELAL).
Even before the publication of the Arkia tender, Caspi Aviation contacted Knafaim, which owns 75% of Arkia, to acquire the airline. Caspi Aviation has even begun examining Arkia's aviation network and financial standing.
Founded in 1992, Caspi Aviation is the exclusive agent of Ukraine carrier Aerosuit and Belarus carrier Belavia. Caspi Aviation also organizes tours across the world and provides ground services in Eastern Europe.
Aviation sources believe that Caspi Aviation wants Arkia in order to combine the airline's domestic flights with the international flights marketed by Caspi Aviation.
Published by Globes [online], Israel business news - www.globes.co.il - on January 20, 2005