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Bronfman-Fisher Investments Ltd. and Leo Noe have run into complications in their attempt to acquire Shufersal Ltd. (TASE:SAE) from Nochi Dankner's IDB Holding Corp. Ltd. (TASE:IDBH) unit Discount Investment Corporation (TASE: DISI). According to a market source, the closing of the deal has been delayed indefinitely due to differences in opinion between Noe and the Bronfman-Fisher group over payments and collateral that Nochi Dankner would receive.
Another issue that has not yet been settled, is the Bronfman family's controlling stake in Israel Discount Bank (TASE: DSCT). The Committee for the Promotion of Competition in the Economy is compelling the Bronfmans to choose between ownership of Discount Bank or Shufersal.
On October 12, Dankner decided to sell Discount Investment's 45.9% stake in Shufersal for NIS 2.4 billion, a price that values Shufersal at NIS 5.26 billion. The price tag reflected a 47% premium on Shufersal's value at the time the letter of intent was signed.
Shufersal's share price was unchanged in morning trading at NIS 15.41, giving a market cap of NIS 3.3 billion. Discount Investment rose 1.2% in morning trading to NIS 36.03 , giving a market cap of NIS 3 billion.
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