Madanes is Israel’s largest insurance agency.
Union Bank of Israel (TASE: UNON) is buying 10% of S. Madanes Insurance Agency (1989) Ltd., Israel’s largest agency, from CEO Shuki Madanes for NIS 14.5 million, giving a company value of NIS 145 million.
After the sale, Shuki Madanes will own 65% of the agency, Harel Insurance Investments Ltd. (TASE: HARL) 25% and Union Bank 10%, through Union Investments & Enterprises (ASY) Ltd. The price tag for the deal was set at the maximum, and includes a mechanism for reducing the price pursuant to a number of conditions.
Madanes is Israel’s largest agency for health insurance and medical malpractice insurance, insuring most of the country’s doctors and nurses. The company also invests in real estate and other areas.
Published by Globes [online], Israel business news - www.globes.co.il - on March 15, 2007
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