"It's not serious."
A large institutional investor has responded disparagingly to the Africa-Israel Investments Ltd. (TASE:AFIL; Pink Sheets:AFIVY) debt settlement offer this morning.
"There are constantly mentioning the NIS 7.4 billion par value against which they are proposing to give assets to pay this debt. But the assets they're offering are currently worth a lot less on the market," the investor told "Globes".
"The shares in the subsidiaries, for example, are booked by Africa-Israel at a value of NIS 2.3 billion, while their market cap is NIS 1.2 billion. Nevertheless, Africa-Israel mentions the value of NIS 2.3 billion. It's not a serious offer."
Published by Globes [online], Israel business news - www.globes-online.com - on September 23, 2009
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