Israel Petrochemical Enterprises Ltd. (TASE:PTCH) is sorting out its subsidiaries through which it owns a stake in Oil Refineries Ltd. (TASE:ORL). The company today announced that it is in negotiations to sell its entire 50.06% stake in Scailex Corp. ltd. (TASE: SCIX; Bulletin Board:SCIXF) to Suny Electronics Ltd. (TASE: SUNY). Petrochemical Enterprises did not disclose the company value for the negotiations.
"Globes" reported last week about talks between the companies; Petrochemical Enterprises denied at the time that there were any negotiations for the sale of its stake in Scailex.
Ilan Ben-Dov owns 36.6% of Scailex through Suny, which owns 12.8 % of the company, and Tao Tsuot Ltd. (TASE: TAO-M), which owns 23.8%.
At the same time, Petrochemical Enterprises is in negotiations to acquire wholly-owned Scailex subsidiary Petroleum Capital Holdings Ltd. (PCH), which owns 15.76% of Oil Refineries. Israel Corp. (TASE: ILCO) owns the controlling interest in Oil Refineries.
In essence, Ilan Ben-Dov would be left with Scailex as a shell, as it would no longer contain its Oil Refineries stake.
Petrochemical Enterprises has also opened talks to sell its 50% stake in Carmel Olefins Ltd. to its partner in the company, Oil Refineries. If a deal is closed, Oil Refineries will fully own Carmel Olefins.
Published by Globes [online], Israel business news - www.globes-online.com - on April 6, 2008
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