Foreign equity participation in an airline company is limited to 49% of its capital.
"Commercial operation of aircraft - licensing requirement
17. (A) A person shall not operate an aircraft in commercial operation unless he holds an air operating license issued in accordance with the provisions of this Article or if he is a pilot on behalf of such a licensee.
(B) An air operator shall not operate an aircraft in commercial operation except in accordance with the terms of the license, the operating specifications that form part of the license, and the provisions under this Law.
Air Operating License
18. (A) The Director shall grant an air operating license, including operating specifications, to an applicant who satisfies the conditions set out in section 45 as well as the conditions set out below, if he is satisfied that the applicant is capable of performing the requested operation safely:
(1) The applicant is one of the following:
(A) an individual who is a permanent resident of Israel and does not have a principal place of business outside Israel, or who is an Israeli citizen who has a principal place of business in Israel;
(B) A corporation incorporated in Israel has no principal place of business outside Israel and is controlled by an Israeli citizen or permanent resident of Israel or a corporation controlled by another person in accordance with the provisions of an international aviation convention to which Israel is a party; [...]" (Aviation Law (13.04.2011), last amended 27.12.2020, Articles 17 and 18 [google translation])
Aviation Law (13.04.2011), last amended 27.12.2020, Articles 17 and 18
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