Discount Investment Corporation (TASE: DISI), one of the holding companies of Nochi Dankner-controlled IDB Holding Corp. Ltd. (TASE:IDBH), has published an offer to purchase 7% of subsidiary Koor Industries Ltd. (TASE:KOR). Discount Investment is offering to buy 3,322,000 Koor shares at NIS 35 per share, a 15% premium on today's opening price, for a total of NIS 116.3 million.
Discount Investment currently owns 29,938,734 shares in Koor, 63.08% of the company, which controls agrochemicals company Makhteshim Agan Industries Ltd. (TASE: MAIN) as well as 2.14% of Credit Suisse Group AG (NYSE: CS; SWX: CSGN; XETRA: CSGZ), after selling one third of its holding for NIS 2.01 billion in August.
The Credit Suisse holding pushed Koor into a NIS 1.92 billion loss for the second quarter of 2011 and NIS 1.8 billion loss for the first quarter. Koor announced today that its cash and cash equivalents are currently NIS 1.97 billion, of which NIS 581 million are readily available. It also has CHF 868 million in assets, CHF 636 million in loans, and other shekel/Swiss franc deals worth CHF 538 million and with a fair value of NIS 258 million.
Koor's share price rose 11.1% in morning trading to NIS 33.55 giving a market cap op NIS 1.6 billion, and Discount Investment's share price fell 0.6% to NIS 26.18, giving a market cap of NIS 2.24 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on September 14, 2011
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