The amount of the deal is probably not large, due to Sheraton Moriah's heavy $130 million debt.
Yitzhak Tshuva is about to complete the takeover of the Sheraton Moriah Israel hotel chain, after reaching an agreement to acquire the controlling interest in the company from Koor Industries (NYSE:KOR; TASE:KOR) on Tuesday.
Under the agreement, will carry out due diligence for Sheraton Moriah over the next three weeks, after which the deal will be completed. Sheraton Holding Corporation will also have to give formal approval for diluting its stake in Sheraton Moriah.
The amount of the deal is still unknown, but is probably not large, due to Sheraton Moriah's heavy $130 million debt. "Globes" first reported in March that Tshuva was about to acquire the company.
Koor owns 55% of Sheraton Moriah, Sheraton Holding owns 25%, and Bank Hapoalim (LSE:BKHD; TASE:POLI) owns 20%. Koor is reportedly selling almost all of its stake, and Sheraton Holding is selling a small part. Bank Hapoalim is not selling.
Published by Globes [online] - www.globes.co.il - on August 5, 2004