The company enters the student loan market with the acquisition.
Clal Insurance Enterprises Holdings Ltd. (TASE: CLIS) subsidiary Clal Consumer Credit Finance Ltd. has acquired Israel Student Loans Ltd. (ISL) for NIS 46.8 million. “Globes” first reported about the company’s planned acquisition, which the company later confirmed in March. Clal Insurance plans to use ISL as a platform for its consumer credit business.
In addition to the payment when the deal is closed, Clal Insurance will pay NIS 2 million as part of a settlement of accounts later this year. The company also took over ISL’s NIS 84 million in liabilities, most of which are to the banks which finance the company’s activity.
Clal Insurance also signed a management contract with ISL’s owner and with its CEO for the continued provision of management services for the acquired activity for a period agreed to by the parties.
Published by Globes [online], Israel business news - www.globes.co.il - on June 12, 2007
© Copyright of Globes Publisher Itonut (1983) Ltd. 2007