Sources inform ''Globes'' that Apax Partners Israel, run by CEO Zehavit Cohen, has offered to buy out its partner in Tnuva Food Industries Ltd., Mivtach Shamir Holdings Ltd. (TASE:MISH) at a company value of NIS 6 billion, including debt. The offer to purchase is at the same value as in Mivtach Shamir's failed deal with Bank Leumi (TASE: LUMI).
If Mivtach Shamir accepts Apax's offer, Mivtach Shamir chairman Meir Shamir will make NIS 800 million. However, Shamir is demanding a valuation for Tnuva by a party agreed to by both parties.
By buying out Mivtach Shamir, Cohen hopes to prevent the disclosure of Tnuva's results. The TASE suspended trading in Mivtach Shamir because it has not published full financial reports, which would have to include data about Tnuva.
Apax and Mivtach Shamir control Tnuva through a special purpose vehicle; Mivtach Shamir owns 27% of the special purpose vehicle, giving a 20.7% stake in Tnuva.
The Israel Securities Authority reportedly approves of the deal.
Published by Globes [online], Israel business news - www.globes-online.com - on August 16, 2011
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