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Shapir buying Till 120 sheltered housing network

  • August 01, 2021

The Phoenix Holdings Ltd. (TASE: PHOE1;PHOE5) notified the Tel Aviv Stock exchange this morning that it had given Shapir Engineering and Industry’s (TASE: SPEN) residential real estate unit a 30-day exclusivity period for negotiations to buy control (53%) of the Till 120 sheltered housing network.

The exclusivity follows a binding offer to The Phoenix from Shapir to buy 44.44% of The Phoenix’s holding in Till 120 for NIS 600 million, which reflects a valuation for Till 120 of NIS 1.35 billion. In return for the rest of the holding, Shapir will transfer to Till 120 two plots of land under development that are zoned for sheltered housing, offices, and commercial space, in Jerusalem and Nes Ziona.

On completion of the deal, Shapir will hold (directly and indirectly) 53% of Till 120, while The Phoenix will remain with 47%. The two sides will sign a shareholders agreement regulating the relationship between them, giving Shapir control of the company while The Phoenix will have certain minority rights.

The deal price will be adjusted according to an updated surveyor’s valuation at the end of 2021, which could entitle Shapir to a refund of up to NIS 25 million.

Shapir has undertaken that if it fails to sign a final agreement with no justifiable cause, it will pay The Phoenix NIS 25 million.

Published by Globes, Israel business news – en.globes.co.il – on August 1, 2021

© Copyright of Globes Publisher Itonut (1983) Ltd. 2021

Published by Globes, Israel business news – en.globes.co.il – on August 1, 2021

© Copyright of Globes Publisher Itonut (1983) Ltd. 2021


Article source: https://en.globes.co.il/en/article-1001380162#utm_source=RSS

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