Israir (6H, Tel Aviv Ben Gurion) subsidiary Israir Aviation and Tourism is seeking to purchase 50% in Larnaca-based MRO company Bird Aviation, a stock exchange filing revealed.

While the basic conditions of the transaction have been agreed upon, it still remains subject to a final agreement, Israir said. The carrier holding is purchasing the stake from Bird Aerosystems and the first stage of the transaction will encompass a 25% share in the Cypriot firm worth EUR2.75 million (USD2.96 million). The second stage will see Israir buy a 12.5% stake for around EUR1.375 million (USD1.48 million). Finally, the seller will be given a put option which can be exercised two years after the second stage, within which it can oblige Israir to purchase another 12.5% for the same amount as the second stage purchase (plus 3% annual interest), and subject to terms derived from Bird Aviation's performance during that period.

The deal is expected to be finalized in June.