Delek completes NIS 1.57b sale of Phoenix

Yitzhak Tshuva
Yitzhak Tshuva

The Centerbridge and Gallatin Point Capital investment funds are buying the cntrollong 32.5% stake in the Israeli insurance company.

Delek Group Ltd. (TASE: DLEKG), controlled by Yitzhak Tshuva, has announced that it has completed the sale of its 32.5% stake in The Phoenix Holdings Ltd. (TASE: PHOE1;PHOE5) insurance company to the Centerbridge and Gallatin Point Capital investment funds.

The total consideration will be for NIS 1.57 billion, of which NIS 1.335 billion in cash was received on November 3, 2019. As part of the agreement, the total consideration may increase by up to an additional NIS 866 million or decline by up to NIS 196 million, based on the future returns of the purchasing funds.

With the sale of its controlling stake in The Phoenix, Delek Group will have fully divested its ownership of the insurance company in accordance with the provisions of Israel's Market Concentration Law.

UK-based Centerbridge Partners LP is a venture capital fund founded in 2005, and manages $27 billion of investments in the insurance, financial services, and real estate sectors. Gallatin Point Capital LLC is based in the US and invests in areas experiencing regulatory and technological change, specializing in financial services and assets around the world.

Published by Globes [online], Israel business news - en.globes.co.il - on November 4, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

Yitzhak Tshuva
Yitzhak Tshuva
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