Ofer Investments Ltd. unit Melisron Ltd. (TASE: MLSR) has sold two malls - the Ra'ananim Mall in Ra'anana and the Savionim Mall in Yehud - for NIS 1.02 billion to a group of insurance companies. The company will report a NIS 56 million loss on the sale, which was made slightly below the malls' value in the company books.
The consortium of buyers comprises The Phoenix Holdings Ltd. (TASE: PHOE1;PHOE5) and Menorah Mivtachim Holdings Ltd. (TASE: MORA) (40% each), Amitim Senior Pension Funds (the nationalized senior pension funds), and JTLV (10% each). JTLV is owned by Amir Biram, the former CEO of British-Israel, which Melisron acquired last year. He said, "We intend to update the properties for the benefit of consumers and tenants."
The consortium will pay NIS 844 million for the Ra'ananim Mall and NIS 178 million for the Savionim Mall. The 45,000-square meter Ra'ananim Mall has an annual turnover of NIS 61 million, and the 10,500-square meter Savionim Mall has an annual turnover of NIS 19 million. Melisron is selling the mall under its terms agreement with the Antitrust Authority following the acquisition of British Israel.
Melisron chairwoman Leora Ofer said, "The sale of the malls will improve Melisron's financial soundness. The company is currently closing the sale of more properties that it wants to sell."
Published by Globes [online], Israel business news - www.globes-online.com - on February 13, 2013
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