Israel Corp to raise $500 million in private bond placement

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Israel Corp will use most of the proceeds in its bid for the controlling interest in Oil Refineries Haifa.

Israel Corp. (TASE: ILCO) announced today that it will raise $500 million in private bond issue to investments institutions. The company added that Maalot the Israeli Rating Company will rate its bonds AA.

The bond issue will increase Israel Corp�s cash assets to $1 billion, much of which will be used in its bid for the controlling interest in Oil Refineries Haifa, whose privatization is due to take place at the beginning of 2007. Part of Oil Refineries Haifa will be floated in a public offering on the Tel Aviv Stock Exchange (TASE), at a company value of $1.5 billion.

Published by Globes [online], Israel business news - www.globes.co.il - on January 1, 2007