Real estate developer Elbit Imaging Ltd. (Nasdaq: EMITF; TASE: EMIT) has signed a Standby Equity Purchase Agreement (SEPA) with investment manager Yorkville Advisors LLC unit YA Global Master SPV Ltd., under which Yorkville can buy up to a $50 million of Elbit Imaging shares over three years.
Elbit Imaging said that, at its sole discretion, it can notify YA Global to require it to buy shares at 98% of the lowest daily volume weighted average share price on the Tel Aviv Stock Exchange (TASE) during the five trading days following the notification. The maximum single purchase is $4 million, unless Elbit Imaging and YA Global agree otherwise.
YA Global and its affiliates may not own more than 4.99% of Elbit Imaging at any one time.
In addition to the SEPA, Elbit Imaging will also borrow $10 million from Yorkville through a senior note, and which will mature on October 24.
Motti (Mordechai) Zisser is the executive president of Elbit Imaging since January 2010, and from 1999-2009 he was chairman of the board of directors.
Elbit Imaging's share price rose 1.7% on Nasdaq on Friday to $11.90, giving a market cap of $43.91 million, and rose 3.4% in early trading on the TASE today to NIS 43.91.
Published by Globes [online], Israel business news - www.globes-online.com - on March 27, 2011
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