McDonald's expected to buy back its franchises in Israel, amid boycotts, declining sales

McDonald's says it will buy back all 225 outlets in Israel from franchisee Alonyal, amid a boycott and resulting drop in sales as a result of the fast-food chain's perceived support of Israel in its war with Palestinian-affiliated Hamas. 

The fast food giant was criticized after its Israel franchise gave away thousands of free meals to Israeli soldiers, according to the BBC. 

McDonald's said in January the Israel-Hamas war had "meaningfully impacted" business.

Widespread protests affected sales across the Middle East and is Indonesia and France, the BBC also reports. 

“For more than 30 years, Alonyal Limited has been proud to bring the Golden Arches to Israel and serve our communities," Alonyal Limited CEO Omri Padan said Thursday. "We are encouraged by what the future holds."

Joe Sempels, the president of McDonald's International Developmental Licensed Markets, says the chain, famous worldwide for its hamburgers, french fries and milkshakes, says  the chain "remains committed to the Israeli market."

As of now, the date of the purchase is not clear.

Alonyal started its McDonald’s operations in Israel decades ago and has opened over 200 restaurants there.