Tempo Beer Industries Ltd. (TASE: TMPO) is set to delist from the Tel Aviv Stock Exchange (TASE). The company has made an offer to purchase for the public's 10.01% stake of NIS 33 per share, 25% above Thursday's closing price of NIS 26.40. The share price rose 28.6% in morning trading today to NIS 33.95, giving a market cap of NIS 260 million.
Tempo is controlled by Jacques and Rina Beer, with a 52.82% stake. Lea Borenstein and Amir Borenstein each own 17.16%, and Tempo Investments (1981) Ltd. owns 2.85%.
The offer to purchase was made following improvement in Tempo's results in the first quarter of 2013. Despite just 2% revenue growth, compared with the corresponding quarter of 2012, to NIS 259.4 million, net profit rose 34% to NIS 10.7 million in the first quarter from NIS 8 million in the corresponding quarter.
Tempo has three businesses: beer production, including Israeli brands Goldstar, Maccabi, and Nesher, and a franchise to brew Heineken; soft drinks, including a license to produce Pepsi; and wine, through subsidiary Barkan Winery Ltd., and spirits, for which it is the exclusive importer of Absolut vodka, Chivas Regal scotch, Jameson whiskey, and other brands for Pernod Ricard SA (Euronext: RI).
Tempo recently launched a new brewery at its Netanya plant at an investment of NIS 60 million. The brewery boosts the company's production capacity by 35%.
Published by Globes [online], Israel business news - www.globes-online.com - on June 16, 2013
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