lots of money 88.
(photo credit: )
Gov’t to sell 5% Discount stake • By KOBY YESHAYAHOU
After the Tel Aviv Stock
Exchange closed Monday evening, the Finance Ministry began selling a further
stake of at least 5 percent in the government’s holding in Israel Discount Bank.
It approached nine foreign investment banks that will be given an option to
purchase the holding.
The winning bid will be chosen Tuesday morning at
about 9 a.m.
As part of the privatization process, the accountant-general
will commit not to sell any more of the government’s holdings in the bank over
the next three months. After this sale the government will no longer have a core
holding in Israel Discount Bank because its stake, currently at 11.66%, will
fall below the 10% threshold determined by the Bank of Israel.
government was encouraged by the success of its previous sale of Israel Discount
Bank shares at the end of July, when UBS bought an 8.33% tranche for NIS 553
Delek targets London Stock Exchange • By ADI BEN-ISRAEL
Group Ltd., controlled by Yitzhak Tshuva, is planning a public offering on the
London Stock Exchange in January.
The company’s holdings include stakes
in the Tamar and Leviathan natural-gas discoveries.
Delek Group will try
to raise $300 million through an offering of 10 percent of its shares,
reflecting a company value of $3 billion, or NIS 10.8b. Delek Group’s market cap
is NIS 11.48b., so the offering will be held at a discount of about
Delek held the kickoff meeting last week, with Tshuva, Delek Group
president and CEO Asaf Bartfeld, CFO Barak Mashraki and the underwriters, UBS,
Citi and Deutsche Bank.
Delek Group hopes that a London listing will
increase its exposure to large European investors. The timing is good for the
company, given the markets’ rally since September, as worries about the debt
crisis in Europe abate, and given developments in the company’s exploration
ventures. Production from Tamar is scheduled to begin in early 2012, and
exploratory drilling has begun at Leviathan.
Modu aims for TASE IPO • By
Modu Ltd., run by CEO Dov Moran, on Monday published its prospectus
for an IPO on the Tel Aviv Stock Exchange. The prospectus states that modu has a
going concern warning from its auditor and that it has spent $115.6 million to
Modu will issue shares, bonds, and warrants.
Modu posted a
loss of $8.1m. in the first half of 2010 and had a negative cash flow of $5.6m.,
after losing $45.7m. in 2009 as a whole and a negative cash flow of $44.2m. It
posted $1.6m. revenue in the first half of 2010, after earning $87,000 in 2009
as a whole. The company also disclosed that its capital equity deficit is
Modu is developing a modular mobile telephone, the lightest on the
market, that users can personalize and customize.
Moran launched the
venture in 2008 after selling msystems, which he also founded, to SanDisk