The companies notified the TASE that eight months of negotiations had come to an end.
Negotiations between Hilan Tech Ltd. (TASE: HLTC) and Migdal Insurance and Financial Holdings Ltd. (TASE: MGDL) have been broken off without reaching a binding deal for Migdal to acquire Hilan Tech outright or in part. The two companies notified the Tel Aviv Stock Exchange (TASE) yesterday that eight months of negotiations had come to an end.
Migdal, managed by CEO Izzy Cohen, wanted to integrate Hilan Tech in its pension management business. Migdal considered the deal as a strategic investment, whereas Hilan Tech’s controlling shareholders wanted a financial transaction, under which they would retain their autonomy.
The price that Migdal offered for Hilan Tech, which Migdal reported in its financial report for 2005, was apparently not the reason why negotiations were suspended. Sources close to the deal said, “Migdal offered a good price for Hilan Tech.”
Published by Globes [online], Israel business news - www.globes.co.il - on March 14, 2006
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