Finance

Kenny Rozenberg increases stake in El Al from 39% to 45%

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Kenny Rozenberg increases stake in El Al from 39% to 45%

Kenny Rozenberg, US businessman and controlling shareholder of El Al Israel Airlines Ltd has increased his stake in the airline from 39% to 45%, by converting warrants to shares.

Going ahead, Rozenberg has issued an offer to purchase an additional 5% of EL AI’s shares for up to NIS 36 million, through Kanfei Nesharim at a price of NIS 3.80 per share, similar to the market price.

This would bring his total holding in the company to 50%.

Rozenberg has invested NIS 360 million in El Al since 2020 and became the controlling shareholder to save the airline for collapsing during the pandemic.

Subsequently Rozenberg injected a further NIS 166 million into El Al for additional shares and extended the $70 million owner's loan.

Till date, Rozenberg has lost hundreds of millions of shekels on the investment.

However, with the world's airline industry returning to pre-Covid levels, El Al reported a $67 million net profit in the third quarter of 2022 on $626 million revenue.