Clalit Health Services has become the effective controlling shareholder.
Igal Ahouvi, who controls Herzliya Medical Center, has sold his entire stake to the Landau family (Eli, Yoram, and Yair), which up to now held a small stake. The Landau family has thus become the owner of 40% of Herzliya Medical Center. The General Health Fund owns another 40%, with the rest owned by Prof. Yitzhak Suari, Avner Cohen, and Haim Cohen. It is believed that Ahouvi sold his stake to the Landau family for $16 million, exactly what Clalit Health Services paid him.
The Ministry of Health and the Ministry of Finance insisted that they would not allow Clalit Health Services to buy control of a private hospital, and so allowed it to buy 40% of the institution. However, sources inform "Globes" that in the framework of the deal, which was completed yesterday, the ownership structure of Herzliya Medical Center ceased to include a controlling core, and Clalit thus became the owner together with the Landau family. The Ministry of Health feared such a development, but had no legal way of preventing it.
Published by Globes [online], Israel business news - www.globes.co.il - on July 1, 2009
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