The decision, announced on 28 October, follows IAI’s announcement on 6 July that the Israeli government had approved the merger. All of ELTA’s activities, assets, rights and liabilities will transfer to IAI when the transaction is completed.
IAI says the change will remove unnecessary bureaucracy that complicates its operations. President and CEO Guy Bar Lev said bringing the businesses into a unified organisational structure would simplify processes, reduce interfaces and increase flexibility.
“The merger of ELTA into IAI marks a significant milestone in realizing our strategic ‘One Company’ vision. ELTA is one of IAI’s key centers of strength, and the groundbreaking technologies it develops are a key component in the defense systems of the State of Israel and many countries around the world,” Bar Lev said.
Chairman Boaz Levy said the merger was intended to strengthen IAI’s organisational and business resilience and consolidate its capabilities. He also emphasised the role of employees, their experience and the knowledge accumulated within the company.
“The move is being advanced in cooperation with the employees’ organization, driven by a commitment to operating as one unified company, maximizing the advantages of joining forces, and strengthening our ability to address future challenges. The Board of Directors’ approval marks a significant step in advancing this move, and its completion will be subject to obtaining the required approvals from the relevant state authorities,” Levy said.
Bar Lev said the merger was being carried out in coordination with employee representatives while preserving ELTA’s capabilities and workforce. He described those capabilities and employees as the foundation of ELTA’s success and that of IAI as a whole.
