Scores of parties interested in acquiring ACE Marketing Chains (ACE Israel) are expected to enter the company’s information rooms next week to study its balance sheet and plans. Adv. Lipa Meir, the receiver for Gad Zeevi Galaxo Group, is handling the sale of ACE (Israel).
Meir is trying to sell ACE (Israel), worth an estimated $20 million, as quickly as possible. ACE (Israel) posted NIS 570 million in sales in 2004, a record, and 8% more than in 2003. Profits were also up 8%.
Parties reportedly interested in acquiring ACE (Israel) include Benjamin (Benny Gaon), who has made a formal offer; Burger King Israel franchisee Orgad; Polar Investments (TASE: PLR); Keter Plastics; Zadik Bino; Nochi Dankner; and Blue Square Israel (NYSE: BSI; TASE: BSI) chairman David Wiessman.
Weissman also wants to buy IKEA Israel, which Meir is also responsible for selling.
Meir recently told "Globes" that although there was no deadline for the sale of ACE (Israel), the aim was to complete the sale as soon as possible. "There is no reason why this shouldn’t happen. It is a good company, and there's a lot of interest in it," he said. ACE (Israel) will be sold in a public process with the court's approval.
The sale of ACE (Israel) and IKEA Israel are due to take place simultaneously, even though there is no binding formal tender for either. The sale of both ACE (Israel) and IKEA Israel is subject to the approval of their respective parent companies, ACE Ltd. (NYSE:ACE), and IKEA. The difference is that ACE Ltd. considers the price for ACE (Israel) to be the critical factor, whereas IKEA is more interested in the proven retail capabilities of the buyer
In a separate development, ACE (Israel) today announced the establishment of a pet food and products retail chain, ACE Cats and Dogs.
Published by Globes [online], Israel business news - www.globes.co.il - on February 8, 2005