IDB Development Completes Sale of 49.9% in Clal Industries to Access Industries
NEW YORK and TEL AVIV, Israel, July 5, 2012 /PRNewswire/ -- IDB Development Corp Ltd. (TASE: IDBD) today announced that it has completed the previously announced agreement to sell 49.9% of its 60.5% stake in Clal Industries and Investments Ltd. (CII) (TASE:CII) to Access Industries, a privately held industrial group, for 1.27bn NIS.
The transaction values 100% of CII at 2.55bn NIS, and was completed after all customary closing conditions, including regulatory approvals and financing, had been met.
Under the terms of the purchase agreement, signed on May 20th 2012, IDB will initially receive a payment of 761 million NIS, with the remaining 509 million NIS to be paid by the end of 2012.
Mr. Avi Fischer will serve as CII's Executive Chairman. Lincoln Benet, CEO of Access Industries, and Adv. Zvi Heifetz, Israel's former Ambassador to Britain, will serve as members of CII's Board of Directors.
Nochi Dankner, Chairman of the IDB Group, said, "I congratulate Len Blavatnik for electing to invest commercially in Israel, and appreciate him and his team for leading the transaction in a professional and efficient manner. The transaction is an important boost of encouragement to Israel's economy, and I am convinced that CII, led by Len Blavatnik and managed by my friend Avi Fischer, will continue to grow and create economic value through entrepreneurship and innovation."
Len Blavatnik, Chairman and founder of Access Industries, said, "I am very pleased with the acquisition and I look forward to working closely with CII's well-respected and experienced management team."
Mr. Avi Fischer added, "We are grateful to Access Industries, led by its founder and Chairman Len Blavatnik and CEO Lincoln Benet, for their trust in CII. The cooperation with an impressive international industrial group of Access' caliber will bring a great deal of value to CII's shareholders and employees."
About IDB Group
The IDB Group is one of the leading business groups in Israel with total assets of over $30 billion. The group holds leading corporations in various business sectors including: finance, industry, technology, communication, retail and real estate. IDB's activities spread over 100 countries through about 20 companies listed in Israel, Europe and the US. (www.idb.co.il)
About Access Industries
Access Industries is a privately held industrial group with long-term holdings worldwide. Access was founded in 1986 by its Chairman, Len Blavatnik, an American industrialist. Access' industrial focus spans three key sectors: natural resources and chemicals; telecommunications and media; and real estate. (www.accessindustries.com).
About CLAL Industries
Established in 1956 and listed on Tel Aviv Stock Exchange in 1964, Clal Industries and Investments Ltd. (CII) is one of Israel's leading holding companies, focusing on investments in market leading companies in key industries. CII acts to increase shareholder value over the long term by leveraging its financial and managerial expertise as well as its deep understanding of both the Israeli marketplace and the global arena, for the benefit of its portfolio companies. CII holds a portfolio of investments in various industrial fields, ranging from manufacturing-oriented activities to advanced technology companies. The company also operates units to manage its significant investments in biotechnology and other venture capital investments. The company's shares are traded on the Tel Aviv Stock Exchange under the symbol CII.
Contacts for Access Industries:
Tel Aviv: Eli Kamir, Eden Public Relations, +972 77 2066611
London: Andrew Garfield, Brunswick, + 44 207 404 5959
New York: Stan Neve, Brunswick, + 1 212 333 3810
Contacts for IDB:
Ran Rahav Communications and Public Relations ltd.
SOURCE Access Industries
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