Parent company Clal Industries will hold an offer for sale reducing its stake.
Clal Biotechnology Industries Ltd. (CBI) has published its prospectus to raise a net NIS 187 million in an IPO on the Tel Aviv Stock Exchange (TASE). IDB Holding Corp. Ltd. (TASE:IDBH) subsidiary Clal Industries and Investments Ltd. (TASE: CII) owns 81% of CBI.
The anticipated proceeds from the IPO are based on the minimum price per unit and after deducting NIS 13 million in costs. If the IPO is closed on schedule, Clal Industries will report NIS 80-110 million in deferred income for the second quarter. The company will record the revenue in equal installments on its profit and loss statements over a three-year period, or until Clal Industries’ share in CBI’s losses through the reported year are met, whichever is higher.
Clal Industries said that the CBI IPO will include an offer for shares, which will reduce Clal Industries’ stake in the company to 67%. CBI will offer units by tender, with each comprising ordinary shares and three series of warrants. The tender will be held on May 30.
Published by Globes [online], Israel business news - www.globes.co.il - on May 24, 2007
© Copyright of Globes Publisher Itonut (1983) Ltd. 2007