TAHAL TO SELL AN ISRAELI SUBSIDIARY

Alleen voor leden beschikbaar, wordt daarom gratis lid!

Algemeen advies 06/08/2020 18:07
Amsterdam, 6 August 2020 – Kardan N.V. (‘Kardan’ or ‘the Company’), active in real estate and water infrastructure, informs that its subsidiary, Tahal Group International B.V. (‘TGI’), through a subsidiary, has entered into an agreement with a third party for the sale of its entire holdings (55.49%) in an Israeli subsidiary (Palgey Maim Ltd.). The consideration – up to €6.3 million – will be used to finance TGI Group’s operations and to repay its debts.

The transaction was made as part of TGI's activity to realize its assets, in light of the financial situation of the TGI Group, as detailed in the Company's financial statements for 2019, which were published on 21 April 2020, and as stated in the Company’s financial statements as of March 31, 2020, which were published on June 30, 2020, and regarding TGI's financial position, breach of covenants, TGI's negative cash flow, delays in carrying out new projects and the negotiations it is conducting with the banks financing its activities regarding the reorganization of the debts.

The agreement has been signed by TGI’s indirect subsidiary, Tahal Consulting Engineers Ltd. (‘TCE’). In accordance with the provisions of the sale agreement, in exchange for the sale of shares in Palgey Maim Ltd. (‘the Subsidiary’), TCE will be entitled to a consideration in the amount of between NIS 22.5 million and NIS 25.5 million (between € 5.6 million and € 6.3 million), less payments to be made (or already paid) by the Subsidiary to TCE (‘the Adjustment Amounts’).
At the time of completion of the sale of the Subsidiary, Tahal will be paid in cash in the amount of approximately NIS 22.5 million, minus the Adjustment Amounts. The balance, in the amount of approximately NIS 3 million (approximately € 0.7 million), will be deposited in trust and will be used to ensure presentations and adjustments, in respect of certain payments specified in the agreement.
Completion of the transaction is subject to the fulfillment of a number of conditions precedent, the main ones being the approval of the competition commissioner, the approval of the financing banks of TCE, and the approval of certain third parties.

Given TGI's financial condition, the Company does not expect to recognize a profit on completion of the transaction. Also, in view of the financial situation of TCE and TGI, the proceeds are expected to be used to finance TGI Group’s activities and to repay its debts to the banks that finance their activities, all as agreed between them and the banks.

As stated above, the completion of the transaction is subject to the fulfillment of the conditions precedent set forth in the sale agreement. Accordingly, as of the date of this report there is no certainty as to the fulfillment of the conditions precedent and the completion of the sale transaction.







Beperkte weergave !
Leden hebben toegang tot meer informatie! Omdat u nog geen lid bent of niet staat ingelogd, ziet u nu een beperktere pagina. Wordt daarom GRATIS Lid of login met uw wachtwoord


Copyrights © 2000 by XEA.nl all rights reserved
Niets mag zonder toestemming van de redactie worden gekopieerd, linken naar deze pagina is wel toegestaan.


Copyrights © DEBELEGGERSADVISEUR.NL