The Court allowed the companies 30 days in which to notify it whether the agreement has been signed. Tnuva will acquire 24% of Yotvata at NIS 50 million.
Kibbutz Yotvata (Yotvata Dairies) and Tnuva today motioned the Haifa District Court to approve their merger agreement. The companies filed application after summing up the deal, subject to the approval of the Restraint of Trade Commissioner. Tnuva will acquire 24% of Yotvata's shares.
Judge Bilha Gilor of the Haifa District Court ruled, in her decision, that the applicants’ attorneys must notify the Court within 30 days of the fate of the agreement, specifying whether or not it had been signed. Failing appropriate notice within that time frame, the application will be stricken out due to inaction.
The value of the transaction is estimated at NIS 50 million but Yotvata will not receive the entire amount in cash. In the frame of the transaction, Tnuva will waive the manufacture of certain products, in favour of Yotvata. In this way, Yotvata will increase its activity.