Skyline International Development Inc., the Canadian development arm of Mishorim Development Ltd. (TASE:MSHR) and Israel Land Development Company (TASE: ILDC) has raised C$3.9 million (NIS 16 million) in a private placement at a company value of C$216 million (NIS 880 million) ahead of an IPO on the Toronto Stock Exchange or on Wall Street. Skyline will allot 1.9% of its shares to the investor, whose name it did not disclose.
Skyline, which builds mixed residential and resorts projects in Ontario, has raised NIS 124 million in private placements over the past ten months. Mishorim president Gil Blutrich serves as president of Skyline. Mishorim owns 58.8% of Skyline and Israel Land, controlled by chairman Ofer Nimrodi, owns 25%.
Skyline will use the proceeds from the placement to expand its business, including the purchase of 32 lots for development at the Deerhurst Resort. The company has sold 140 houses at the resort over the past year.
Mishorim's share price rose 5.1% by early afternoon to NIS 8.50, giving a market cap of NIS 202 million, but Israel Land's share price fell 0.9% to NIS 18.73, giving a market cap of NIS 529 million.
Published by Globes [online], Israel business news - www.globes-online.com - on August 19, 2012
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