Kardan (TASE:KARDN) today announced it was expanding its international operations by stetting up a new public company, Kardan NV, in Amsterdam, in the Netherlands.
The company is designed to enable the group to expand and develop its international business, which currently accounts for 70% of Kardan’s total business. Kardan’s overseas operations, which currently include real estate, finances, and infrastructures in Central and Eastern Europe, are an important part of its strategy. The group is also continuing its real estate, infrastructure, commercial, communications, and technology activities in Israel.
Among other things, Kardan’s work plan for the coming years is based on continued overseas growth. This requires the development of international connections, further investment, and locating new sources of financing, which can be better achieved by Kardan’s entry in to the European capital market.
The new company plans to make an offer to purchase to all Kardan shares, in exchange for shares in Kardan NV. When the offer to purchase is completed, those accepting the offer will hold the same holding in Kardan NV as they currently do in Kardan. At the same time, Kardan NV will also be listed on the new pan-European Euronext stock exchange, through which the company shares will be traded in Amsterdam, Paris, and Brussels, in addition to the Tel Aviv Stock Exchange. The plan will not alter the position of the Israeli partners in the Kardan group controlling interest.
Published by Globes [online] - www.globes.co.il - on May 8, 2003