The acquisition transaction of the Israeli insurer Phoenix by Chinese Sirius is canceled
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The Israeli group Delek Group announced Sunday in a filing on the Tel Aviv Stock Exchange the cancellation of an agreement to sell its controlling stake in the Israeli insurer Phoenix Holdings to Sirius International Insurance Group , Ltd.
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Sirius and Delek, affiliated with China, first signed the agreement in September 2017, Sirius agreeing to pay $ 57.5 million (208 million shekels) for a participation of 4.9% in Phoenix. In November 2017, Sirius announced that it had decided to exercise its option to buy all remaining shares of Delek in the Phoenix, 46.2%, for an additional $ 640 million (2 , 3 billion NIS). Delek and Sirius failed to obtain regulatory approvals before the July 2 deadline.
<img src = "https://images1.calcalist.co.il/PicServer3/2018/03/25/805549/AMITS-250318-2009628_l.jpg" border = "0" alt = "CEO of Sirius International Insurance Group, Allan Waters Photo: Amit Sha & alike "title =" Sirius International Insurance Group CEO, Allan Waters Photo: Amit Sha & # 39; al
Sirius International Insurance Group CEO, Allan Waters Photo: Amit Sha & # 39; al
Last week, Calcalist reported that the agreement was not approved by Doris Salinger, Israel's Capital Markets Commissioner, and that if it does not meet the deadline, Sirius will be required to sell the 4.9% stake it has already acquired from Delek and to abandon the operation. # 39; cancellation.
Sirius, a majority-owned subsidiary of China Minsheng Investment Group (CMIG) International, a Singapore-based investment company, is the fifth buyer to negotiate Delek's stake in Phoenix in recent years.
Delek had previously negotiated with the Chinese conglomerate Fosun International and the Chinese group Fujian Yango, both blocked by the Israeli regulator. An agreement with the American company AmTrust Financial Services Inc. was canceled less than a month after the signing of a non-binding agreement protocol, as was the case with the Kushner group. Delek said Sunday that he will continue to seek a buyer for his stake in Phoenix.
Israeli business magnate Yitzhak Tshuva is Delek's majority shareholder. Due to a law pbaded by the Israeli Parliament in 2013, intended to reduce market concentration and increase competitiveness, Tshuva is required to separate financial badets and its real estate by the end of 2019
