Koor Industries Ltd. (TASE:KOR), a unit of IDB Holding Corp. Ltd. (TASE:IDBH), which has been transferred from Nochi Dankner to Eduardo Elsztain and Moti Ben-Moshe, notified the Tel Aviv Stock Exchange (TASE) on Friday that it sold Credit Suisse Group AG (NYSE: CS; SWX: CSGN; XETRA: CSGZ) shares for 54.9 million Swiss francs (NIS 212 million). Koor will report a net gain of NIS 4 million on the sale of the 1.9 million shares in its financial report for the first quarter of 2014.
Koor will use 21.8 million Swiss francs of the proceeds to repay part of a loan from Morgan Stanley and Citi, reducing the balance of the loan to 88.8 million Swiss francs (NIS 342 million), against which is a lien on 7.9 million Credit Swiss shares.
Following the sale, Koor owns 8.62 million Credit Suisse shares, amounting to 0.54% of the bank, with a current value of 249 million Swiss francs.
Since the change in the investment policy in Credit Suisse in August 2013, before the transfer of control in IDB, Koor has sold 22.43 million Credit Suisse shares for 640.2 million Swiss francs. In its financial statements for the fourth quarter of 2013, Koor will report a net gain of NIS 35 million on the revaluation of the holding in the shares, and in shares sold during the quarter
Koor will report a net gain of NIS 4 million on the sale of shares during the first quarter in its financial statements for the first quarter of 2014. In addition, the difference between the value of Koor's remaining Credit Suisse shares and the value of the shares held at the end of 2013 is a positive NIS 30 million.
Published by Globes [online], Israel business news - www.globes-online.com - on January 12, 2014
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