(photo credit: Avi/Wikipedia)
Delek Real Estate Ltd. controlling shareholder Yitzhak Tshuva on Thursday
notified the company’s bondholders that he is prepared to inject more capital
into the company as part of a debt settlement, on top of the NIS 300 million he
has already promised. He did not state how much more money he would inject, but
the statement indicates that he has bowed to public pressure.
proposed debt settlement included a NIS 900m. haircut for Delek Real Estate’s
bondholders, who are owed over NIS 2 billion.
“Over the past few days, I
reviewed the structure proposed for Delek Real Estate by Prof. Amir Barnea, and
I heard and listened to the criticism,” Tshuva said in the statement. “Over the
past three years, I have responded favorably to the company’s requests for
financial assistance, in the belief that this would succeed in putting it on a
new path. I am still prepared to continue helping the company to get through
this period and rebuild it and to improve the structure for it proposed by Prof.
“I am prepared to increase the amount of my participation in the
settlement structure that will be formulated and inject additional amounts in
the company beyond the amounts stated in Barnea’s proposal, as part of a
structure agreed to by all the parties.”