The race to acquire the 72% stake in Cal Israel Credit Cards (ICC) held by Discount Bank is heating up. Gil Agmon, controlling shareholder in Delek Automotive Systems (TASE: DLEA), has also expressed interest in buying the shares. Should Discount Bank move forward with Agmon, the valuation is expected to be lower than in the deal whereby Discount Bank and First International Bank (which holds the remaining shares) were to have sold the company to Union Group, owned by George Horesh, and insurance company Harel.
That deal, which ultimately fell through because of significant restrictions imposed by the Competition Authority on Union Group, valued Cal ICC at up to NIS 4 billion. It is believed that Agmon will seek to acquire Cal at a lower valuation, partly because of events over the past year, during which Cal lost the Fly Card program (the issuance of co-branded credit cards for El Al’s Matmid frequent flyer club). The valuation will probably be in the NIS 3.2 billion to NIS 3.5 billion range, but discussions are a preliminary stage, discussions, and other interested parties have emerged.
Discount Bank, led by Avi Levy, is still attempting to revive the Union-Harel deal, a move driven both by the significant amount of time already invested in the transaction and by the fact that the valuation assigned to Cal was high. Gallatin Point Capital , a partner in Discount’s IDB Bank New York, is reportedly considering joining the Union-Harel consortium, reducing Union’s stake and smoothing the path for regulatory approval from the Competition Authority.
Meanwhile, US firm Centerbridge Partners is also re-evaluating possible participation in the deal. Previously, the name of Gideon Tadmor, founder of the energy company Navitas Petroleum, was also mentioned, but it is understood that he is no longer interested. Discount Bank faces an increasingly tight timeline to either finalize the transaction or pursue an IPO for Cal. The legislator set April 2027 as the final deadline for the bank to divest its control of Cal. Discount Bank is, however, seeking an extension, and has even written to the Bank of Israel requesting that the requirement to sell off Cal should be entirely reconsidered.
Any further extension can only be granted once a new Knesset has been elected and a government formed. The agreement with Union-Harel is set to expire definitively in November, though the timetable may be extended to facilitate a renegotiated deal.
Published by Globes, Israel business news - en.globes.co.il - on October 20, 2026.
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