Three years after the Sampoerna family of Indonesia invested in Harel Insurance Investments (TASE: HARL), the Hamburger family is buying back the shares it sold to it, and raising its stake in the group to over 51%, giving it sole control.
This morning, Harel notified the Tel Aviv Stock Exchange that negotiations were taking place between the two controlling shareholder groups: the Hamburger family, which founded the company, and the Sampoerna family. The negotiations are over the purchase of 10% of Harel held by the Sampoerna family by GYN, owned by the three Hamburger siblings Gideon, Yair, and Nurit, for some NIS 230 million.
The offer represents a price of NIS 112 per share, about 9% below this morning's opening price, but higher than the average price for 2009 to date. After the deal is completed, the Sampoerna family will be left with 10.8% of the group.
The Sampoerna family, one of the wealthiest business groups in South East Asia, is undergoing a restructuring of its businesses and investments. Its remaining holding in Harel will be defined as financial rather than strategic.
Published by Globes [online], Israel business news - www.globes.co.il - on May 14, 2009
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