Gav Yam, of the Discount Investments group, has won a closed tender conducted in recent weeks by the Haifa Municipal Economic Corporation. The company will buy 50% ownership of the Economic Corporation subsidiary Matam, for hundreds of thousands of shekels, "Globes" has learned. This is one of the largest deals in the economy recently.
The proceeds of the deal will be invested in the Matam company itself, and will not be transferred to the Municipal Economic Corporation. An official statement announcing the deal will be issued tomorrow.
Five groups participated in the closed tender. The Economic Corporation, wholly owned by the Haifa municipality, demanded that participating companies present a minimum capital of hundreds of millions of shekels, as well as ownership construction of industrial space of at least 120,000 sq.m. Gav Yam made the highest bid.
Among other assets, Matam owns the Matam High Tech Industrial Park in Haifa, and is also responsible for all the Economic Corporation’s development activities. Gav Yam has pledged to participate in future investments, such as establishing the Hilton hotel and expanding the Matam Industrial Park.
Published by Israel's Business Arena September 13, 1998