Koor Tourism has won the tender for the acquisition of the Radisson Moriah hotel chain for $81.5 million, after raising its bid today by $498,000 as against last Wednesday, when it tendered $81 million. The Dan Hotel chain, which offered $80.25 million, did not modify its bid today, stating that, in its estimation, its bid reflects the company’s value.
The Radisson Moriah chain is currently owned by Ampal (46%), Amot (27%), Gmul (20%) and the investment fund of Hevrat Haovdim (7%). The bids relate to the acquisition of 100% of the chain’s shares, including those held by the investment fund of Hevrat Haovdim, if sold.
The chain owns three hotels, at the Dead Sea, in Eilat and in Jerusalem. It manages another two hotels: one in Tiberias, owned by Israel Corporation, which Moriah is managing until February 2001, with an option to acquire; and one in Tel Aviv, owned by the Koren, Liss and Rosenthal families, owners of the Tel Aviv Hilton, in which its management contract ends in 2015.
The tender for the sale of the hotel chain closed on Wednesday, with only two bids posted. One was that of Koor Tourism Enterprises, which tendered jointly with the Sheraton International chain, and the other was that of Dan Hotels.
Published by Israel's Business Arena January 24, 1999