Arkia employees scramble to find rival investor by Monday to counter $45 million sale deal

NOVEMBER 15, 2026 04:08Arkia employees are scrambling to find a rival investor by Monday to counter a $45 million deal to buy the airline, signed by a group of private investors.After an emotionally charged night of negotiations between Arkia employees and the group of buyers, led by Yariv Lerner, Kidan Dahari, Yaron Adiv, and Einav Adiv-Berar, talks on the sale are moving to the next stage. The employees’ corporation has three days, until Monday afternoon, to match the offer signed with the Nakash brothers.The talks ended at around 3 a.m. Alongside the talks with the buyers, employee representatives are already meeting with several investors to see which of them can match the offer, what their plans for Arkia are, and what arrangement they are willing to make with the employees.If they find an investor who can meet the terms of the deal and with whom they reach agreements on the future of the company and its employees, they will submit their offer by Monday.The deal includes an injection of about $45 million into Arkia’s coffers. The group of buyers will put in about $30 million and receive control of the company, with the rest coming from brothers Rafi, Joe, and Avi Nakash and the state. The Nakash brothers will keep about 3% of the shares.Airbus A321 aircraft, Arkia. (credit: PR)The employees held about 22% of the company through their corporation, and the announcement of the deal does not specify what will remain in their hands.The sale comes weeks after Israir, Arkia’s main local rival, said it was in preliminary talks to buy the airline, with Israir CEO Uri Sirkis telling staff a merger would create a group able to compete with foreign carriers. Arkia holds a market share of nearly 11% of passengers using Ben-Gurion Airport so far in 2026, compared with Israir’s 12%.Employees opposed by former allyUntil the signing, Lerner, chairman and owner of the Negev Ceramics Group, was part of a group considering a purchase together with the employees, alongside the Varor family and Avi Elkayam. At the same time, Dahari and Yaron Adiv, owners of the real estate companies Yashpro and Tnuport, were in talks with Avi Hormaru, who led the sale on behalf of the Nakash brothers.Ultimately, Lerner joined Dahari and Adiv, and the group was also joined by Einav Adiv-Berar, Yaron’s sister and an owner of medical centers. As a result, the employees found themselves sitting across the table from someone who, until a few days earlier, had made a joint offer with them.Transportation union declares labor disputeLast week, dozens of employees demonstrated outside the company’s offices against plans to dilute their stake. On Thursday, hours before the signing was announced, the Histadrut labor federation’s Transportation Workers’ Union declared a labor dispute.According to the union, the company’s owners pushed for workforce cuts without reaching agreements with employee representatives, and management also pushed to cancel routes.According to estimates, Arkia lost about $30 million in the first three quarters of the year and could end the year with a loss of $50 million-$60 million. The company has previously said that published estimates are not its official figures.The Nakash brothers said previously that they were working to find solutions to “the crisis Arkia has fallen into,” with the aim of rehabilitating the company.Even if the workers don’t have a competing offer by Monday afternoon, talks with the group that signed with the Nakash brothers are continuing. “I think we’ll be able to reach agreements with them,” said a source involved in the negotiations.Reuters contributed to this report.Follow us on Google