Luxury Car Agency Buy & Drive Receives 45-Day Stay Over 97 Million Shekel Debt
The Central District Court in Lod granted a 45-day stay of proceedings for luxury car agency Buy & Drive amid a 97 million shekel debt crisis, aiming to salvage a real estate sale in Netanya.
The Central District Court in Lod has issued a 45-day stay of proceedings for the luxury car agency Buy & Drive, owned by Ori Degani and Yitzhak Maya, following a severe cash-flow crisis and accumulated debts totaling 97 million shekels. Attorney Avner Cohen from the Naschitz Brandes Amir law firm and CPA Chen Bardichev from Avidor Bardichev Gazit have been appointed as settlement managers for the company.
The move is designed to allow Buy & Drive to finalize a deal for the sale of its operational complex in Netanya, the company's primary asset, for 51 million shekels.
Crisis and Financial Collapse
Judge Hanna Kitsis instructed the settlement managers to examine the company's financial standing and submit their recommendations.
Founded in 1997, the Buy & Drive group operates in vehicle trading, leasing, rentals, and trade-in transactions. In 2022, the company reached its peak performance with an annual turnover exceeding 600 million shekels and a fleet of approximately 1,100 vehicles.
However, since late 2022, the company has plunged into a deep business crisis. According to the firm, the sharp rise in interest rates dramatically increased financing costs for its vehicle fleet and inventory, alongside dropping demand, the entry of budget brands and electric vehicles, and a steep decline in commercial activity following the outbreak of the Swords of Iron war. These factors led to total liabilities of approximately 97 million shekels, including secured debts, preferential debts such as 10.9 million shekels owed to tax authorities, supplier debts, and personal guarantee liabilities.
The Real Estate Lifeline
Over the past year, the company downsized its workforce and sold off its leasing operations. In May 2026, an agreement was signed to sell the company's real estate complex and main showroom in the Netanya industrial zone to Mirea Finance Ltd. for 51 million shekels plus VAT.
"Recent attachments imposed by VAT authorities on operating accounts and a 5 million shekel deposit held in escrow for the deal have paralyzed ongoing operations and placed the completion of the sale at risk of immediate cancellation."
The company turned to the court to stay proceedings to allow the settlement managers to finalize the real estate transaction under court protection, ensure the continued operation of the company as a going concern, and prevent a collapse and liquidation that would cause heavy damage to creditors, employees, and the automotive market. The settlement managers will submit their initial report to the court within 50 days.
