Shaul Elovitch continues to lose money on Eurocom Global Real Estate Ltd. (TASE: EGRE), even as he is benefitting from recently acquired Bezeq Israeli Telecommunication Co. Ltd. (TASE: BEZQ) and has spotted the profit potential in cleantech through Enlight Renewable Energy Solutions Ltd. (TASE:ENLT).
EGRE's net loss attributable to its parent company doubled to NIS 8.8 million for the second quarter from NIS 4.1 million for the corresponding quarter of 2009. First half net loss attributable to its parent company rose to NIS 16.5 million from NIS 2.6 million in the first half of last year. The company attributed the higher losses to higher financing expenses caused by the drop in the shekel-euro exchange rate and to a reduction in fair value assessments on its properties.
The core business of EGRE, which Elovitch's Eurocom Group controls jointly with Yair Weil in equal shares, is in Romania, where the companies owns several lots, but has not yet recorded income on any of them. Land values in Romania are continuing to erode, and EGRE recorded a reduction in value of NIS 4.1 million on its properties in the first half.
EGRE's share price was unchanged today at NIS 3.63, giving a market cap of NIS 23 million.
Published by Globes [online], Israel business news - www.globes-online.com - on August 16, 2010
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