Carried out by IBI and enjoying high demand, this is one of the largest share distributions in recent years on Israel's capital market.
Migdal Insurance and Financial Holdings Ltd. (TASE: MGDL) controlling shareholder Shlomo Eliahu is selling NIS 600 million of Bank Leumi (TASE: LUMI) shares. This is one of the largest share distributions in recent years on Israel's capital market. It is being carried out by exclusively by IBI and is enjoying high demand.
The share distribution is being implemented at a 3% discount on Leumi's closing price last night with Eliahu hoping to take advantage of the share's more than 15% price rise in recent weeks.
Eliahu, who acquired Migdal in 2012 from Italian insurance giant Assicurazioni Generali SpA (BIT: GASI), at a company valuation of NIS 5.1 billion, is required to sell his holdings in Bank Leumi due to regulations preventing the holding of both bank and non-bank financial assets. Since October 2012 and including the latest round of share sales, Eliahu has sold NIS 1.7 billion in Bank Leumi shares.
Published by Globes [online], Israel business news - www.globes-online.com - on October 10, 2013
© Copyright of Globes Publisher Itonut (1983) Ltd. 2013
Irit Avissar and Ron Stein