Demand was more than triple the amount originally offered.
Scorpio Real Estate Ltd., controlled by Benny Steinmetz, today raised NIS 500 million from investment institutions in Israel. Demand for the offering reached NIS 1 billion, more than triple the amount that the company originally planned to raise. The offering was closed at the minimum interest. Poalim IBI Underwriting and Investments Ltd. (TASE:PIU) led the offering. This was the first time that Steinmetz raised money on the Israeli capital market.
Scorpio Real Estate invests in real estate developments in Central and Eastern Europe.
The company offered Israeli investment institutions NIS 300 million in bonds at a maximum interest of 6.75% and minimum interest of 6.25%. The bonds will be redeemed over eight years. Both the principle and interest are linked to the Consumer Price Index (CPI). Maalot The Israel Rating Company gave the bonds an A rating, and assesses the company’s business position as above average.
Published by Globes [online], Israel business news - www.globes.co.il - on January 2, 2007
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