Military vehicle manufacturer Hatehof Ltd. (TASE:THF) today notified the Tel Aviv Stock Exchange (TASE) that is in talks with Origo Investments GP Ltd., a debt recycling fund for a loan of up to NIS 50 million. The company was responding to media reports.
Hatehof stated that no binding loan agreement has been signed between the parties. The company said that it was negotiating a loan in two tranches, the first of NIS 15 million, and the second of NIS 35 million. Hatehof will give Origo options to buy shares in the company in exchange for the loan.
Hatehof added that, if and when a loan agreement is signed, it will notify the TASE as required.
Hatehof's lead product is the Wolf armored personnel carrier platform, developed for the IDF for a range of missions. The Wolf can carry a variety of armaments and payloads, depending on the mission.
Hatehof's share rose 6% in morning trading today to NIS 1.57, giving a market cap of over NIS 75 million.
Published by Globes [online], Israel business news - www.globes-online.com - on January 13, 2010
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