Discount Investment Corporation (TASE: DISI), controlled by Eduardo Elsztain, is trying to sell its shares in Shufersal Ltd. (TASE:SAE), Israel's largest retail food chain. Discount Investment announced today that it was considering the sale of its 26% holding in Shufersal at a price yet to be determined.
The report indicates that the sale will be to classified investors in a competitive proceeding, and the proceeds will be paid in the company's bonds. Discount Investment also reported that the sale, its timing, and its terms had not yet been finally set. The measure comes two weeks after IDB Development and Discount Investment announced the appointment of Eran Saar as CEO of IDB Development.
A year ago, Discount Investment sold 16.5% of the shares in Shufersal for NIS 850 million, thereby ceasing to be the controlling shareholder in the company, although retaining a 26% stake. Elsztain shortly afterwards pressured then-Shufersal CEO Israel Berman to resign, following a dramatic scene in the company's board of directors, and Berman was replaced by Mauricio Wior.
Published by Globes, Israel business news - en.globes.co.il - on September 25, 2019
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