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Israel's El Al Airlines pulls bid to buy control of charge card firm Isracard

Israeli flag carrier El Al . Airlines has actually withdrawn its quote to buy Israel's biggest. charge card business, it said on Wednesday, citing its inability. to meet requirements by Thursday's due date.

El Al made an offer on Oct. 16 to get a 45% stake in. Isracard - which does not have a controlling stakeholder - in a. offer valuing the credit card firm at 3.1 billion shekels ($ 834.5. million).

Isracard's shares fell 1.6% in afternoon Tel Aviv trading,. valuing it at 2.95 billion shekels. El Al's shares moved 4%.

The bid comes as El Al's profit has actually soared, a result of its. near-monopoly status and high air travels with lots of foreign. providers having actually cancelled flights amidst the war in Gaza and. escalating violence in the region.

Due to a brief time frame made by Isracard and in view of a. decrease in El Al's request for an extension, El Al might not. complete the checks required for investment in the company, the. airline company said.

Under these circumstances, and out of a commitment to a. comprehensive and accountable examination of the financial investment, El Al. decided to withdraw its offer.

Isracard did not instantly respond to a request for. comment.

Insurance coverage firm Menora Mivtachim is also in talks. to purchase a stake in Isracard, with a deadline of Nov. 3.

El Al said it would continue to analyze business. chances compatible with its tactical plan to broaden its. portfolio of product or services, consisting of in the field of. credit and financing.

(source: Reuters)