The transfer is aimed at making decision-making at Diners Club Israel more efficient.
Israel Credit Cards-Cal (ICC-Cal) is acquiring 43.5% of Diners Club Israel from its controlling shareholders: Israel Discount Bank (TASE: DSCT), First International Bank of Israel (TASE: FTIN1;FTIN5), the Fishman group, and Harel Insurance Investments (TASE: HARL), according to a Discount Bank report published today.
At the beginning of the year, ICC-Cal signed an agreement with its shareholders to acquire full ownership of the capital shares and voting rights in Diners Club Israel. Diners Club International Ltd. approved the agreement, but the shares have not yet been transferred, because the Bank of Israel has not yet approved the agreement.
The transfer is aimed at putting in order the ownership of Diners Club Israel. The current ownership structure makes decision-making difficult, since any decision requires approval from all of ICC-Cal’s shareholders. Transferring full ownership of Diners Club Israel to ICC-Cal is designed to solve this problem, and make decision-making at Diners Club Israel more efficient.
Published by Globes [online] - www.globes.co.il - on May 31, 2005