Sabre Marketing will buy out El Al's 49% share in the joint venture for an estimated US$10
El Al Israel Airlines Ltd., Sabre Holdings and Sabre Marketing Nederland BV reached last week a settlement in the International Chamber of Commerce's International Court of Arbitration over their joint venture Sabre Israel Ltd.
Under the settlement, Sabre Marketing will buy out El Al's 49% share in the joint venture, for an undisclosed amount. The value of the deal was not disclosed but market analysts estimate that Sabre Marketing will pay El Al US$10 million for its stake in Sabre Israel.
Sabre Israel was set up in 2001 to distribute the Sabre Travel network among Israeli travel agencies.
Sabre and El Al signed a new long-term distribution agreement under which El Al services will be distributed via Sabre's system. The company will supply complete information on prices and seat availability from the Israeli airline to travel agencies worldwide working with the Sabre network.
Sabre Holdings headquartered in Southlake, Texas, is owned by private equity firms Silver Lake Partners and TPG.
