Sources inform ''Globes'' that global real estate company Gazit-Globe Ltd. (TASE: GLOB), controlled by chairman Chaim Katzman, is planning to raise at least $200 million in an offering on the New York Stock Exchange. Citigroup Inc. (NYSE: C) will probably be the underwriter.
Gazit-Globe said in response, "The company considers, from time to time, various capital raising alternatives, including raising capital by listing its securities on one of the world’s leading stock exchanges. At present, the company has not taken a decision to list on the NYSE or on any other stock exchange. If and when a decision is made in relation to the matter, the company will report to the market as required by law."
Gazit-Globe's Wall Street-listed US subsidiary Equity One Inc. (NYSE: EQY) is planning to raise $150 million in an offering, the proceeds of which will finance various real estate transactions. An offering on the New York Stock Exchange by Gazit-Globe will give foreign investors exposure to the company's Canadian subsidiaries First Capital Realty Inc. (TSX:FCR) and Gazit America Inc. (TSX: GAA), and European subsidiaries Atrium European Land Ltd. (ATX: ATR; Euronext: ATRS) and Citycon ojy (HEX:CITY1S), as well as holdings in the UK, Israel, and Brazil.
Israeli capital market sources are skeptical about the offering. One analyst said, "It won't be easy for Gazit-Globe to hold an offering on the New York Stock Exchange. This is a global company with operations in many places, and its diversity will make it difficult to tell its story to investors."
Published by Globes [online], Israel business news - www.globes-online.com - on December 19, 2010
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