The former Manufacturers Association president is also considering buying 10% of Avgol, which is again trying to hold an IPO.
Sources inform ''Globes'' that Oded Tyrah, the former president of the Manufacturers Association, and president of Phoenicia America-Israel (Flat Glass), is in negotiations to set up a private equity fund.
The sources added that Tyrah is also negotiating to invest in AvgolAvgol Ltd., which has renewed procedures for an IPO on the Tel Aviv Stock Exchange (TASE). Avgol’s application for an IPO was rejected twice. Tyrah is considering acquiring 10% of Avgol at a company price below that for the IPO. Market sources believe that Avgol plans to raise NIS 150-200 million in shares and bonds at a company value of $80-100 million. The underwriters for the issue are Leumi & Co. Underwriters Ltd., Meitav Underwriting Ltd., Clal Finance Underwriting Ltd., and Excellence Underwriting.
Avgol, a maker of nonwoven fabrics, posted $76 million revenue for the first half of 2005, compared with $123 million in 2004 as a whole. The company recently expanded its production line in North Carolina at an investment of $30 million, which could boost sales to over $150 million for 2005.
Published by Globes [online], Israel business news - www.globes.co.il - on November 16, 2005