Tshuva improves offer for Delek Energy

Delek Group is offering more Avner Oil participation units for each Delek Energy share, reflecting a 7% premium.

Delek Group Ltd. (TASE: DLEKG), controlled by Yitzhak Tshuva, has improved its offer to purchase for subsidiary Delek Energy Systems Ltd. (TASE: DLEN), the direct parent company of Tamar and Leviathan partners Avner Oil and Gas LP (TASE: AVNR.L) and Delek Drilling LP (TASE: DEDR.L), by increasing the number of participation units in Avner for each Delek Energy share, increasing the premium on Delek Energy value to 7% from essentially zero.

Delek Group currently owns 79.87% of Delek Energy, and wants to delist the company from the Tel Aviv Stock Exchange (TASE). It is offering 36 participation units in Delek Drilling and 472 participation units in Avner for each of the public's 1,009,910 shares in Delek Energy. The previous offer in early August was 27 participation units in Delek Drilling and 472 participation units in Avner for each Delek Energy.

In financial terms, Delek Group is offering NIS 1,293 for each Delek Energy share, 8.1% more than in the initial offer. The deadline to respond is 2 pm on Tuesday, August 30.

Delek Energy's share price rose 3.3% by midday to NIS 1,245, giving a market cap of NIS 6.1 billion. Delek Group's share price fell 1.7% to NIS 601, giving a market cap of NIS 6.9 billion, Avner's share price fell 2% to NIS 1.88, giving a market cap of NIS 6.4billion, and Delek Drilling's share price fell 2.3% to NIS 10.48, giving a market cap of NIS 5.8 billion.

Published by Globes [online], Israel business news - www.globes-online.com - on August 25, 2011

© Copyright of Globes Publisher Itonut (1983) Ltd. 2011

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