Shomo Ben-Tzvi buys "Ma'ariv", Amos Maimon buys printing house
If the court approves the sale, 1,400 of Ma'ariv's 2,000 employees will keep their jobs.
The trustees said that the bidding in the auction was tough, and only decided late last night, after a working agreement was reached between the buyer of the printing house and Shlomo Ben-Tzvi who will buy Hebrew daily "Ma'ariv".
According to the trustee's recommendation for court approval of the winners' bids, Ma'ariv Holdings' activities, including "Ma'ariv", the local newspapers, its website nrg, magazines, and publishing house will be sold to Ben-Tzvi. They also recommend selling the company's printing house in Bat Yam to Amos Maimon.
Nass and Arbel said that the success in running Ma'ariv during the stay of proceedings resulted in the expedited auction, in which bids were received for the sale of the company as a going concern for NIS 145 million. This figure includes the newspaper, magazine, and website, the printing house, and collection of the company's debts.
Approval of the bids should provide jobs for 1,400 of Ma'ariv Holdings' 2,000 employees. The negotiations resulted in a much better offer than Ben-Tzvi's original offer both financially and in terms of jobs (1,400 instead of the original offer of 300 jobs). The trustees said that their primary consideration was saving jobs at the company, which was why their negotiations focused on increasing the number of jobs at the company after the sale.
Ben-Tzvi wants to operate "Ma'ariv" and continue publishing the newspaper and its magazines under their current names. Under his offer, Hirsh Media will hire 450-500 Ma'ariv Holdings employees as follows: 330 correspondents and managers for a minimum of 18 months; 50-70 independent contractors and logistics employees for a minimum of 18 months; and 70-110 printing staff, who will work under contract with the buyer of the printing house.
The winning bids are subject to approval of the court, at a hearing tomorrow morning, and of the Antitrust Authority.
Published by Globes [online], Israel business news - www.globes-online.com - on October 22, 2012
© Copyright of Globes Publisher Itonut (1983) Ltd. 2012
- Tel Aviv market report
- Tel Aviv Stock Exchange
- Israeli stocks in NY
- Arbitrage gaps for dual-listed stocks
- Israeli stocks in Europe
- Israeli stocks on other markets
- Tel Aviv 25 options
- Mutual funds
- Current representative shekel rates
- Historical representative shekel rates
- Bank shekel rates
- Shekel/dollar options