Delta Galil Industries (TASE: DELG) Israel retail unit Delta Brands (TASE: DLTI) has made a non-binding offer to acquire all the shares of retail textile, home design and fashion chain Golf & Co. Group Ltd. (TASE: GOLF). Golf notified the Tel Aviv Stock Exchange that the offer to buy the shares is at a company valuation of NIS 425 million, plus a further NIS 25 million dependent on future financial results. This is well over double Golf's current market cap of NIS 190 million - a 125% premium.
Delta reported that it had reached an agreement in principle on the deal, albeit non-binding on the terms of the deal. The deal will be an all-cash acquisition.
Golf said, "The offer is not binding and contingent, among other things, on reaching binding agreements and the completion of due diligence by Delta. For the aforementioned purpose, the company's board of directors has approved the granting of a short exclusivity period to Delta.
Golf has about 70 retail outlets throughout Israel. Delta Israel Brands has over 200 stores around Israel selling underwear, pajamas, and clothing.
Published by Globes, Israel business news - en.globes.co.il - on February 14, 2023.
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