Bronfman Fisher Investments Ltd. subsidiary Isralom Properties Ltd. (TASE:ILOM) today acquired 19.7% of Olimpia Real Estate Holdings Ltd. (TASE: OLMP) for NIS 133 million. Isralom paid NIS 37.50 per share, a 30% premium on the market price, even after a 20% rise by Olimpia’s share in the past month. The sale price reflects a company value of NIS 676 million for Olimpia. Bronfman-Fisher is owned by company president Matthew Bronfman and Shalom Fisher.
Isralom bought shares from Olimpia Real Estate’s controlling shareholders, Olimpia Building Investment and Development (1994) Ltd. and HG Guti Investments Ltd., sold 2.45 million shares (13.6%) for NIS 92.1 million. A third party sold 788,000 shares (4.4% of the company) for NIS 29.6 million, and agreed to sell an additional 1.7% at the same price per share, provided that Isralom will own no more than 22.5% of the company.
Isralom and Olimpia signed a cooperation agreement covering joint voting in shareholders’ meetings, first refusal rights in the event of a sale to a third party, a tag-along agreement in the event of a sale, the setting of dividends policy, and other matters.
Published by Globes [online], Israel business news - www.globes.co.il - on August 5, 2007
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