Delek Group helps subsidiary fund RoadChef purchase

Delek Real Estate borrowed NIS 80 million to buy the UK chain.

Delek Group Ltd. (TASE: DLEKG) has lent subsidiary Delek Real Estate Ltd. (TASE: DLKR) NIS 80 million to help fund its acquisition of UK roadside service chain RoadChef.

The owners loan is part of Delek Real Estate's NIS 710 million in refinancing that the company's foreign subsidiaries have to repay by the end of the month for the RoadChef acquisition.

Delek Real Estate said that it would obtain the balance of the refinancing by the end of September.

Delek Group has taken a back-to-back Consumer Price Index (CPI) linked bank loan to finance its loan to Delek Real Estate.

Published by Globes [online], Israel business news - www.globes-online.com - on September 15, 2008

© Copyright of Globes Publisher Itonut (1983) Ltd. 2008

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