The Tel Aviv wholesale market lot is turning into a never-ending story. The sellers of the market have given the winner of the sale tender, the Soho consortium led by Shari Arison-controlled Shikun u'Binui Holdings Ltd. (TASE: SKBN) and Shaul Elovitch-controlled Eurocom Global Real Estate Ltd. (TASE: EGRE), a 14-day no-shop extension to close the deal. The no-shop exclusivity period expired today, but the parties agreed to extend the talks under the same procedures.
Sources close to the deal said that the parties agreed to the no-shop extension because progress had been made in the negotiations, and they decided to complete them. However, as "Globes" reported earlier this week, the Soho consortium's final offer made on Monday night was less than the sellers had expected, and they rejected it.
Tnuva Food Industries Ltd. owns 60% of the wholesale market, the Tel Aviv-Jaffa Municipality owns 25%, Adv. Shraga Biran owns 6%, and former traders in the market own the rest.
If the sellers reject Soho's final offer at the end of the no-shop exclusivity period, the sellers can open talks with the losing consortium in the tender.
The Soho consortium, which in addition to Shikun u'Binui and EGRE, includes Aviv & Co., and Canada-Israel Development Corporation, won the tender earlier this month, beating the consortium of Moshe and Igal Gindi Ltd., and Gindi Investments 1 Ltd. (TASE: GIND.B1). Bids were reportedly between NIS 600 million and NIS 1 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on January 28, 2010
© Copyright of Globes Publisher Itonut (1983) Ltd. 2010