There has been further progress in the talks between ILD Insurance Holdings Ltd. (TASE:ILDH) chairman Ofer Nimrodi and US billionaire Len Blavatnik on the sale of Ma'ariv Holdings (TASE: MARV), the owner of the daily "Ma'ariv." The two sides have signed a no shop agreement, which will require them to negotiate with solely with each other for a month. The two sides also agreed to maintain confidentiality, an arrangement which will probably limit the number of reports in the media, especially where "Ma'ariv" is concerned.
It is believed that "Ma'ariv" has been valued at $90-100 million in the negotiations. In addition, the deal is also conditional on the settling of the dispute between Nimrodi and his current partner in "Ma'ariv" Vladimir Gusinsky, who holds a 27% stake.
Blavatnik is a Jewish businessman with an estimated fortune of $7 billion. He is the controlling shareholder of the privately-held US industrial group Access Industries, and is also a shareholder in British Petroleum. Access Industries has holdings in telecommunications and media businesses throughout the world, including Russian television production company Amedia, Russian television channel CTC, UK pay TV service Top Up TV, and UK media production company Premium TV. It is also a partner in record company Warner Music Group, and has holdings in other media businesses as well.
Two months ago, Blavatnik acquired 20% of Israeli media production company RGE Group from Aviv Giladi and Udi Recanati, his first entry into the Israeli telecommunications market.
Sector sources believe - quite rightly - that the talks with Blavatnik are likely to progress much faster than the ones Nimrodi held with other buyers, especially billionaire Sheldon Adelson, owner of the freesheet "Israel Today."
Published by Globes [online], Israel business news - www.globes-online.com - on July 30, 2008
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