Delek increases fund raising plan by NIS 100m

Yitzhak Tshuva  / Photo: Gidon Levin
Yitzhak Tshuva / Photo: Gidon Levin

In the updated plan to meet bondholder debt of NIS 6 billion, Delek will raise NIS 500 million, of which the company expects to raise NIS 450 million by the end of 2020.

Delek Group Ltd. (TASE: DLEKG), controlled by Yitzhak Tshuva, has published an updated binding plan for new arrangements with bondholders to whom he owes NIS 6 billion. Delek will amend the company's deeds of trust for seven series of bonds.

In the updated plan of Delek's expected fund raising will grow by NIS 100 million to NIS 500 million, of which the company expects to raise NIS 450 million by the end of 2020 and a further NIS 50 million by April 2020 (of which NIS 137 million has already been raised).

Idan Wallace, President and CEO of Delek Group president and CEO Idan Wallace said, "In recent months we have been working tirelessly to progress significant business moves that will contribute to strengthening the capital and liquidity of the Group. As part of this we have announced, among other things, agreements to divest assets in the amount of NIS 1.5 billion, and at the same time we have formulated a plan to strengthen collateral and capital together with the representatives of the Group's debenture holders and with the lender banks, in order to provide the Company the time to continue to progress major actions that it is working on, and to benefit from the recovery in the global energy markets, signs of which we have been seen in recent weeks. The proposed plan strikes the right balance between the various requirements of the Company, the debenture holders and its secured creditors, and will allow the Group to implement a series of important strategic moves that it is working on."

Published by Globes, Israel business news - en.globes.co.il - on June 11, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Yitzhak Tshuva  / Photo: Gidon Levin
Yitzhak Tshuva / Photo: Gidon Levin
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