Federmann Enterprises Ltd. has failed to delist Dan Hotels Corp. Ltd. (TASE: DANH) following the failure of its offer to buy. Shareholders owning only 62,974 shares, 0.07% of the company, accepted the offer to buy at the offier price of NIS 22.50 per share.
Federmann Enterprises owns 86.77% of Dan Hotels. Sources close to the company said that Federmann has no plans at this stage to improve its offer.
Dan Hotels owns and operates 12 hotels across Israel, including the King David Hotel in Jerusalem, with 3,279 rooms altogether. Other hotels are located in Tel Aviv, Caesarea, Haifa, Eilat, Ashkelon, and Ariel. Dan Hotels also manages the Ganei Dan Hotel in Haifal, and the Dan Gormet Hotels School.
Dan Hotels chairman Michael Federmann declined to comment. A press release from Federmann Enterprises was unequivocal: the offer to buy would not be raised. In an earlier letter to investors, Federmann wrote, "Dan Hotels wishes to bring to the investors' attention that there is no intention of raising the price stipulated in this offer to buy."
Published by Globes [online], Israel business news - www.globes-online.com - on January 17, 2008
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