CEO Ehud Lurie: The deal fell through over one particular issue.
Electra Consumer Products (TASE:ELEK), an Elco Holdings (TASE:ELCO) subsidiary, announced yesterday that its negotiations to acquire a Spanish air-conditioner manufacturer have been called off. Electra Consumer announced in March that it had signed an MOU to acquire the Spanish company, which has €70 million in annual sales in Spain and Portugal. Its acquisition would have consolidated Electra Consumer's position in Europe and increase its market share in Spain and Portugal in particular. However, the deal will not go through.
Electra Consumer Products CEO Ehud Lurie said the deal had fallen through because of disagreements over one particular issue. "I cannot disclose the issue in dispute, because we committed to confidentiality with the sellers, but I can say that it was not the price. In any event, the subject is behind us and we're looking ahead."
Published by Globes [online] - www.globes.co.il - on December 31, 2003