The Indonesian group acquired 20.2% of Harel Insurance at a company value of $900 million.
The Harel Insurance Investments Ltd. (TASE: HARL)-Sampoerna Group of Companies deal was finalized today. The Sampoerna Group, controlled by the Sampoerna family, one of Indonesia’s wealthiest families, acquired 20.2% of Harel, Israel’s third largest insurance company through a Singapore holding company.
The Sampoerna Group bought 10.1% of Harel from its controlling shareholder, the Hamburger family, and 10.1% from Israel Discount Bank (TASE: DSCT). The deal was made at a company value of $900 million. Discount Bank has a seven-month option to sell it remaining 5.8% stake in Harel to the Sampoerna Group and Hamburger family.
Sampoerna Group representative in Israel Gabriel Perel will be appointed vice chairman of Harel Investments. Perel, the CEO of Odin Investments, was previously CEO of Clal Finance Batucha Investment Management Ltd. and deputy CEO of IDB Holding Corp. Ltd. (TASE:IDBH). Sampoerna Group business manager Ariel Kor was also appointed a director at Harel. Harel chairman is Yair Hamburger.
Published by Globes [online], Israel business news - www.globes.co.il - on November 1, 2006
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