Retalix (Nasdaq: RTLX) announced today that its StoreNext Israel marketplace initiative had received a $2.5 million investment from Isracard, an Israeli credit card company and subsidiary of Bank Hapoalim.
The investment values the StoreNext Israel group, a provider of information and e-commerce services to the Israeli food retail industry, at $16.9 million. IsraCard will receive a 13% stake in the company following the investment.
The other shareholders in StoreNext Israel are Retalix, the Central Bottling Company (Coca-Cola Israel) and Discount Investment Corporation (DIC).
The StoreNext Israel group, which is officially called Store-Alliance Ltd., comprises four companies: StoreNext, which provides information and retail management services to independent retailers; IREX, which has set up a web-based retail exchange for suppliers and supermarket chains; Tradanet, a provider of electronic data messaging services to suppliers and retailers; and CellTime, a provider of point of sale solutions for pre-paid cellular air time.
StoreNext Israel CEO Yoram Sagy said, "With IsraCard as a partner, StoreNext can now offer its customers a wide variety of financial services, including transaction clearing and settlement, supplier credit and financing."
IsraCard General Manager Haim Krupsky said the credit card company saw its investment in StoreNext Israel as a strategic partnership. "StoreNext has already made its mark on the evolving e-business field in Israel. Our investment in the company enables us to take part in this field and to lead the Israeli credit card industry into the B2B era," said Krupsky. "Joining forces with leading partners like Retalix in the retail technology market, Coca-Cola Israel in the food industry and Discount Investment Corporation reinforces our faith in the future of B2B in Israel."
Retalix CEO and StoreNext chairman Barry Shaked said, "Following the investments of Coca-Cola Israel and Discount Investment Corporation in StoreNext, we have now achieved another milestone. With IsraCard as a partner, the status of the StoreNext Group is even stronger in Israel. Since IsraCard is a leading player in the Israeli financial arena, StoreNext will now be able to offer not only information, retail management and trading services, but also a wide range of financial services to the growing community of retailers and suppliers."
Retalix’s Tel Aviv-listed shares were up 1.5% at NIS 83.80 on Tuesday morning, compared with a 1.1% rise in the broader market.
Published by Globes [online] - www.globes.co.il - on 28 October, 2003