Dubai-based NY Koen values Israir at $70m - report

Israir Photo: PR

Such a bid would be far higher than the NIS 70 million bid buy Rami Levy and Shalom Haim to buy the airline.

Israir would be valued at around $70 million, according to UAE-based NY Koen Group, which on Wednesday confirmed it will be one of the bidders for it, "Gulf News" reports.

The auction for companies wishing to buy the airline closes on November 8 according to Adv. Ophir Naor who was appointed by the courts as trustee for parent company IDB Development.

So far the only bid to buy the airline has come from Rami Levy and Shalom Haim who have offered NIS 70 million. Levy and Haim (through his private company Taaman) hold equal shares in Shay Odem, which holds 67.7% of BGI Investments (1961) Ltd. (TASE: BGI). BGI Investments announced today that it would bid to buy Israir in a combined deal with Shay Odem or its owners Rami Levy and Taaman.

According to "Gulf News," "Through the acquisition, NY Koen plans to enter the market for short-haul low-cost carriers, which is set to recover faster than the rest of the airlines industry. The company, which owns Aero Private Jet, is still waiting for 'all the information' on Israir’s 'plans' to figure out a bid amount."

If the acquisition goes ahead, Israir will continue to operate as an independent entity within NY Koen’s portfolio, NY Koen CEO Naum Koen told "Gulf News." "It will be a separate company because we are speaking about low-cost - it will give big benefits to the company."

Koen said Israir would not be merged with Aero Private Jet, which is a business aviation company with access to 7,000 aircraft and 4,000 airports.

Published by Globes, Israel business news - en.globes.co.il - on October 15, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Israir Photo: PR
Israir Photo: PR
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