The transaction will be set in motion if the transaction
with EDS, delayed due to opposition from the US parent
company, falls through.
The agreement between EDS Israel and Tadiran
Information Systems is being delayed due to opposition
from the parent EDS in the US, which is a subsidiary of
General Motors.
In October 1995, Tadiran notified the stock exchange
that it had signed an agreement in principal concerning
the sale of 50% of the shares of Tadiran Information
Systems to EDS Israel. Since then, the company has not
announced a final agreement. In addition, the company's
spokeswoman confirmed today that Tadiran had begun
alternative negotiations with IBM.
This is an identical transaction to the one signed with
EDS, according to which IBM will purchase 50% of Tadiran
Information Systems in exchange for $9 million.
Nonetheless, it is estimated that the transaction with IBM
will be set in motion only of the transaction with EDS
Israel falls through. The transaction with EDS Israel was
to be completed by the end of 1995.
EDS is considered one of the leading companies in the
field of integrating computer communications systems and
services. The company is active in 40 countries with a
sales volume of $10 billion.
EDS Israel is a partnership between the American
company and Karden Investments. It is unclear why the
American company was opposed to the transaction with
Tadiran. It was not possible to receive a response from
EDS Israel.