EZ Energy Ltd. (TASE:EZ) has signed an MOU to buy 15 gas stations and conveniences stores on the US East Coast for $15 million. The properties have an annual turnover of $55 million. The company also has an option to buy an office building, land and fuel tanks adjacent to one gas station for $1.75 million.
EZ Energy added that the seller was in talks with third parties to buy an additional gas station for $1.25 million. If that deal is closed, the company said it would be given an option to buy the gas station for the same amount.
In separate transaction, EZ Energy said that it had exchanged draft contracts to buy three clusters of gas stations and convenience stores for $90 million. The 60 properties in this deal have an annual turnover of $215 million on 300 million liters of fuel products.
Sources inform ''Globes'' that EZ Energy is also in negotiations to buy properties in the US and Western Europe. The company has also reportedly been offered properties in Israel, but prefers investing overseas.
EZ Energy plans to finance the pending US real estate purchases with loans from US banks. On the basis of the company’s cash, the banks will provide over 90% of the financing needed.
Published by Globes [online], Israel business news - www.globes.co.il - on December 31, 2006
© Copyright of Globes Publisher Itonut (1983) Ltd. 2006