ChemChina will gain full ownership of the Israeli pesticides company. Discount Investment's share price has shot up.
IDB Development notified the Tel Aviv Stock Exchange this morning that the board of its Discount Investment unit had decided to accept the offer from ChemChina to buy Koor's 40% stake in Adama Holding Ltd. (TASE:ADMA.B1) (formerly Makhteshim Agan) for $230 million. IDB is controlled by Eduardo Elsztain.
Discount Investment's share price is currently up by more than 34%.
In October 2011, ChemChina bought 60% of Adama from the public and from Discount Investment and became the controlling shareholder in the Israeli pesticides company.
Discount Investment and ChemChina have recently been locked in a legal dispute over ChemChina's acquisition of Swiss agrichemicals and seeds giant Syngenta for $43 billion, among other things because of a non-compete clause in the 2011 share sale agreement.
Published by Globes [online], Israel business news - www.globes-online.com - on July 17, 2016
© Copyright of Globes Publisher Itonut (1983) Ltd. 2016
Eduardo Elsztain Ren Jianxin Avishai Greenfield