Israel Chemicals CEO threatens to leave TASE

Stephan Borgas: If TASE regulations make things difficult for us, we will not hesitate to delist Israel Chemicals from trading.

"If Tel Aviv Stock Exchange (TASE) regulations make things difficult for us, we will not hesitate to delist Israel Chemicals from trading," said Israel Chemicals Ltd. (TASE: ICL) CEO Stephan Borgas in a direct threat during a conference call following the publication of the company's financial report for the second quarter.

"A foreign listing opens many possibilities for us, including the raising of capital and acquisitions," Borgas added.

Israel Corporation (TASE: ILCO) CEO and Israel Chemicals chairman Gilad Nir said, "Israel Corp. has no intention of increasing its holding in Israel Chemicals, because its considering this a strategic holding irrespective of the share price."

Gilad added, "The company will initiate a dual listing of its shares on a major international stock market, which will serve as the financial foundation for further growth, provide proximity to foreign investors and flexibility for financing mergers and acquisitions, and readiness for a possible deterioration in the Israeli business environment and the TASE."

Sources inform ''Globes'' that the "major international stock market" is either the New York Stock Exchange or the London Stock Exchange.

"The Israeli government should begin to rethink how strong economic growth is led and achieved. In the past few years, the government's effort has focused on taking more, and adding unnecessary regulatory burdens, and not on how to generate growth which will increase jobs and disposable income," said Gilad.

Borgas told "Globes", "It is necessary to distinguish between contemporary events, such as the Sde Barir phosphates field, dramas in the potash market, and tax breaks, and long-term thinking. Current events cannot be managed if you do not know where you are going. We've built a strategy on the basis of achieving added value in the long term for both shareholders and employees. We've built a balanced company in terms of additional markets, not just Israel, and more products, not just potash.

"Even in these challenging times, Israel Chemicals believes in the potash market in both the short term and the long term. The company will examine options for increasing potash production at its current mines and elsewhere in the world."

Published by Globes [online], Israel business news - - on August 7, 2013

© Copyright of Globes Publisher Itonut (1983) Ltd. 2013

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