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McDonald’s has announced that Omri Padan, the owner of Alonyal Limited, will sell all of its McDonald’s franchises in Israel back to the corporation. This move comes after more than three decades of partnership, during which Alonyal has significantly expanded McDonald’s presence in Israel to 225 restaurants, employing over 5,000 individuals.

The announcement did not specify a closing date for the transaction, mentioning that it is expected to be finalized in the coming months, subject to certain conditions. Both employees and restaurant operations will continue under equivalent terms, ensuring a smooth transition for all parties involved.

In a statement, Omri Padan said, “For more than 30 years, Alonyal Limited has been proud to bring the Golden Arches to Israel and serve our communities. We’ve grown the brand to be the leading and most successful restaurant chain in Israel and are grateful to our management, employees, suppliers, and customers who made this possible. We are encouraged by what the future holds.”

Jo Sempels, McDonald’s President of International Developmental Licensed Markets, acknowledged Alonyal’s contribution to the brand’s success in Israel. “McDonald’s remains committed to the Israeli market and to ensuring a positive employee and customer experience in the market going forward.”

This comes as McDonald’s faced scrutiny and boycotts due to its support initiatives during the war between Israel and Hamas. This was partly due to the company’s efforts to provide free meals to Israeli forces and citizens, which was met with mixed reactions.