The Lod District Court today approved the recommendation of Better Place Inc. liquidators Adv. Sigal Rosen-Rechav and Adv. Shaul Kotler to sell all of the company's operations and assets in Israel to Sunrise Ltd., headed by Yosef Abramowitz and the Association for the Promotion of the Electric Car in Israel. The court also approved the sale of Better Place Switzerland's intellectual property to the same group, subject to approval by the Swiss seller. The buyer will pay at least NIS 18 million for Better Place Israel's assets and NIS 25 million for Better Place Switzerland's intellectual property.
The sale has the support of the official receiver, after the liquidators concluded that it was the best offer for Better Place for three reasons: the money is not conditional, and will be paid this quarter; the offer has the support of Better Place customers; and there is a commitment to operate at least 15 battery recharging stations.
This morning, six weeks after Better Place filed for liquidation, Rosen-Rechav and Kotler asked the court to approve the company's sale to one of the two finalists: the Association for the Promotion of the Electric Car and Abramowitz (the owner of solar energy company Arava Power Company; and a consortium comprising Success Parking Ltd. and US electric car charging company Car Charging Group Inc. (Bulletin Board: CCGI).
The buyers promised to acquire Better Place's Israeli activity as a going concern, in order to continue operating its network of battery charging points and of the battery replacement stations, and continue the sale of electric cars. They also promised to keep most of the company's employees - 50 out of 85.
The sale brings an end to Rosen-Rechav and Kotler's running of Better Place, and they will now deal with its debts and decide which debts to settle, a process that will take considerable time.
During the hearing, Kotler said that Better Place Israel would be sold for NIS 25-100 million, and recommended that the financing should come from US-based Better Place Inc. "There is $7 million in cash, which is proper for a holding company," he said.
Published by Globes [online], Israel business news - www.globes-online.com - on July 10, 2013
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