Delek sells Mehadrin stake for NIS 73.8m

Yitzhak Tshuva

Cash strapped Delek received a 12.7% premium on the market price for its 18.55% stake in the fruit marketing real estate company.

Delek Group Ltd. (TASE: DLEKG), controlled by Yitzhak Tshuva, has sold its full stake in Mehadrin Tnuport Export LP (TASE:MEDH) for NIS 73.8 million cash.

Delek received NIS 119.68 per share at a 12.7% premium on the market price. Delek had a 18.55% stake in Mehadrin, which markets fruit and vegetables and where possible rezoned the land it owns for urban development. Delek's then subsidiary The Phoenix Holdings Ltd. (TASE: PHOE1;PHOE5) received the shares as a dividend last year.

Cash strapped Delek, which had a 'going concern' warning attached to its 2019 financial results, is seeking to raise NIS 200 million through an offering of shares and options.

Published by Globes, Israel business news - www.globes-online.com - on May 14, 2020

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

Yitzhak Tshuva
Yitzhak Tshuva
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