Delek Group Ltd. (TASE: DLEKG) gas exploration subsidiaries, Avner Oil and Gas LP (TASE: AVNR.L) and Delek Drilling LP (TASE: DEDR.L), today notified the Tel Aviv Stock Exchange (TASE) that an independent committee has recommended a merger between the partnerships, with Avner merged into Delek Drilling.
The committee recommends a conversion rate of 5.32 Avner participation units for one Delek Drillings participation unit.
According to the merger outline, all Avner assets and commitments will be transferred to Delek Drilling, and, as a result, the target partnership will be terminated without liquidation according to the Companies Law, and will be erased from Registrar of Partnerships records. The limited partner in the receiving partnership will issue participation units for participation unit owners in the target partnership, in exchange for the participation units they currently control.
In April, the partnerships reported that they were examining a possible structural change in the group, since they are considered "parallel" units, holding energy assets for Delek Group, controlled by Yitzhak Tshuva.
The two subsidiaries control the Tamar and Leviathan gas fields in Israel, as well as the Aphrodite gas field in Cyprus.
Published by Globes [online], Israel business news - www.globes-online.com - on August 7, 2016
© Copyright of Globes Publisher Itonut (1983) Ltd. 2016