The Israel Securities Authority yesterday ordered Ma'ariv Holdings Ltd. (TASE: MARV) to postpone its planned bond offering and fined the company, which the firm believes will amount to NIS 30,000 on the basis of it shareholders' equity, after Hebrew daily "Ma'ariv" reported about the offering, which was scheduled to take place yesterday. Ma'ariv Holdings, controlled by the Nimrodi family, owns the newspaper.
The Securities Authority told Ma'ariv Holdings that it considered the newspaper report to be a violation of its guidelines on permitted reports during the quiet period. This period is the time when there is an open offering to the public on the basis of a prospectus, but before the tender of the offering. The Securities Authority therefore ordered Ma'ariv Holdings to postpone its bond offering until Thursday, March 11.
Ma'ariv Holdings planned to raise NIS 12 million from the public in an issue of convertible bonds and warrants. The company wants to strengthen its capital structure by increasing its shareholders' equity and reducing its debt.
Ma'ariv Holdings' share was unchanged at NIS 4.85 in morning trading today, giving a market cap of NIS 121 million.
Published by Globes [online], Israel business news - www.globes-online.com - on March 8, 2010
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