After a two-month search, the Alpha investor group and First Israel Mezzanine Investors Fund (FIMI) have recommended a new CEO for Retalix Ltd. (Nasdaq: RTLX; TASE: RTLX). The candidate is Joshua Sheffer, currently president of the Emerging Markets Division and member of the executive management at Amdocs Ltd. (NYSE: DOX).
Sheffer is a former colleague of the partners of Alpha group, who are former Amdocs executives, Eli Gelman, Boaz Dotan, Nehemia Lemelbaum, Avinoam Naor, and Mario Segal.
Sheffer has extensive experience in setting strategy and managing sales and delivery of software projects. Retalix develops software for supermarket chains, convenience stores, and other retailers worldwide, including Asia and the US.
Retalix's board still has to approve Sheffer's appointment, and is due to meet on the matter later this month. Assuming that the appointment is approved, he will take up his new post on January 1, 2010, immediately following the previously announced retirement of Retalix founder and CEO Barry Shaked.
Alpha group and FIMI, run by CEO Ishay Davidi, are due to shortly complete their takeover of Retalix on the basis of their offer to purchase 7.6% of the company at $9.10 per share. The offer is valid through November 19. It appears that the offer will not be accepted, since Retalix is currently traded on Nasdaq at $12.23.
Depending on the results of the offer to purchase, Alpha group will make a capital injection into Retalix for an allotment of shares, and, together with FIMI, it will also buy the stakes of Shaked and co-founder Brian Cooper at $12 per share. The purchases will give Alpha group and FIMI a 20% holding in Retalix on top of the 20% stake that FIMI already owns. The public will own the remaining 60%.
Retalix is due to publish its financial report for the third quarter on November 17. The company's guidance predicts $84.2-104.2 million revenue for the second half of the year, compared with $95.8 million revenue in the first half.
Retalix's share fell 0.1% at the opening on Nasdaq to $12.22, giving a market cap of $249 million. The share rose 1.9% on the TASE today to NIS 46.80.
Published by Globes [online], Israel business news - www.globes-online.com - on November 5, 2009
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