Financially troubled Hatehof Ltd. (TASE:THF) is hoping for orders for firefighting equipment, two weeks after the great Carmel fire. The Fire and Rescue Services Commissioner is seeking to buy 58 fire trucks from Israeli and foreign companies at a cost of NIS 100 million. Most of the equipment will be ordered from domestic manufacturers, and Hatehof expects that its share will amount to NIS 30 million. The company has not yet received any orders.
"The order is in the approval and signature stage," Fire and Rescue Services supervisor of equipment Leonid Shaiman told "Globes". This order is not actually related to the Carmel fire; the budget was approved before it.
Hatehof manufactures armored cars, firefighting equipment, and other specialized vehicles. The financially troubled company has not been able to service its debts, or pay suppliers and employees. The banks have appointed accountant Aliza Sharon to handle a debt settlement and find investors to save the company.
Hatehof's largest creditors, banks and the Origo debt recycling fund, are looking for a new investor who will inject capital into the company in exchange for the controlling interest. Potential investors include Koor Metals Ltd.
Hatehof's share price fell 3.5% today to NIS 0.53, giving a market cap of NIS 27 million.
Published by Globes [online], Israel business news - www.globes-online.com - on December 20, 2010
© Copyright of Globes Publisher Itonut (1983) Ltd. 2010