The Tel Aviv Stock Exchange (TASE) suspended trading in the share of Vita-Galilee Fruit Ltd. (Vita-Pri Galil) (TASE: VITA) today because of the uncertainty over the company's circumstances.
The notice to the TASE states, "The TASE has asked the company to clarify its position regarding the special administrator." Earlier, Vita announced that the lender banks asked the Haifa District Court to appoint a receiver for the company's subsidiaries, and that the court had not yet made a ruling on the matter.
Meanwhile, employees went on strike today and took over Vita's plant in Hazor Haglilit. This plant is profitable. The employees cited "the legal status of the subsidiary" as the reason for the action, specifically the request to appoint a receiver.
Last night, Vita announced that a commodities storage tent on the company's premises was severely damaged. 250 pallets of corn were damaged and have been transferred to a warehouse. The extent of the financial losses has not yet been calculated.
Vita's share was traded at NIS 2.78 before trading was suspended.
Published by Globes [online], Israel business news - www.globes-online.com - on February 23, 2009
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