El Al is offered: a new path of aid: a $ 150 million public offering

The state is offering God a new path of aid: a $ 150 million public offering. According to the Treasury, if the public does not respond to the issue, the state will buy the shares, take over the airline (the stock is currently worth $ 90 million, so this is nationalization) - and manage it through a trustee. If the public accepts the issue, the state will borrow $ 250 million from the banks, asking for a total of $ 400 million.
The Treasury has issued some difficult conditions for the IPO. First of all, before the IPO, El Al will sign with the workers on new employment agreements under the recovery plan, which will include, among other things, the layoff of 2,000 employees, the waiver of pay conditions, and the outsourcing of jobs; Also, in contrast to the previous aid outline, the $ 250 million loan granted to El Al in addition to raising capital on the stock exchange will be a State guarantee of only 75% and not 80%; In addition, El Al will need to streamline another $ 50 million beyond what has been required so far; Before issuance, the company will also have to reach debt settlement agreements with the lenders (mostly foreign) and with the companies from which it leases aircraft.
This is a new proposal after a prolonged period in which it was only a matter of granting a state guarantee for a $ 400 million loan from the banks, but under conditions that have not yet reached an understanding with El Al. The previous proposal included, among other things, controlling the number of employees fired and the flow of NIS 100 million by wings, El Al's parent company, a demand that the bondholders of wings opposed. The new Treasury's new proposal means for the first time that the state is actually ready to nationalize the company.