Azorim Investment, Development and Construction Ltd. (TASE: AZRM) subsidiary Azorim Tourism Ltd. is setting up a joint venture for its hotels with App Groep BV. Azorim Tourism will sell half its holdings in the hotels to App Groep for $139 million.
Azorim Investment owns 75% of Azorim Tourism; the other 25% is owned by Azorim parent company, Boymelgreen Capital Ltd. (TASE:BMGN), through which Azorim chairman Shaya Boymelgreen controls the company.
Azorim is selling half its holdings in five hotels: the Moriah Classic Jerusalem and Moriah Classic Dead Sea (both formerly owned by Novotel), Sheraton City Tower in Ramat Gan (in which Azorim Tourism owns a one-third stake), the Sheraton Plaza in Jerusalem, and the Sheraton Moriah Tel Aviv. The company is also selling half its management and franchise rights in two other hotels: Mercure Tel Aviv and Mercure Bat Yam.
Published by Globes [online], Israel business news - www.globes-online.com - on March 5, 2008
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