www.bethelfinance.com
Bethel Finance news:
IDB Holding Corp. Ltd. (TASE:IDBH), controlled by chairman Nochi Dankner, today announced that subsidiaries will make bond buybacks amounting to NIS 920 million.
IDB Development and Clal Industries and Investments Ltd. (TASE: CII) will each buy back NIS 150 million in bonds, Discount Investment Corporation (TASE: DISI) will buy back NIS 250 million, and its subsidiaries Koor Industries Ltd. (TASE:KOR) and Property and Building Ltd. (TASE: PTBL) will buy back NIS 250 million and NIS 120 million in bonds, respectively.
IDB Development has already launched the buyback. Its TASE-traded bonds rose by up to 4.6% by midday today, reversing a prolonged slide in the bond prices, which sent their yields up to 17%.
Discount Investment has also begun the buybacks, including NIS 19 million worth of its No. 9 Bond series. Koor is buying back bonds in its 8, 9, and 10 series.
Yesterday, Excellence Investments analysts Yaniv Hevron advised investors to exploit the fall in IDB and its subsidiaries' bonds to buy them, saying "It's premature to write off IDB."
Hevron told "Globes" today, "Another NIS 150 million buyback by IDB Development is nice, but Dankner has not yet bought anything. If he wants to utilize his credit line in full, the buybacks will not even take a year. But this says, 'I am standing behind my commitments', and the capital market likes to see a company buying back its bonds. It signals confidence, although this is sometimes misplaced."
IDB Holdings lost NIS 1.7 billion in the third quarter, mainly because of Koor's losses on its investment in Credit Suisse Group AG (NYSE: CS; SWX: CSGN; XETRA: CSGZ) shares and IDB Development and Property and Building's write-off on their planned Plaza Casino in Las Vegas. Additional factors includes more losses by Ma'ariv Holdings Ltd. (TASE: MARV-M), which owns the Hebrew daily "Ma'ariv", and lower profits by supermarket chain Shufersal Ltd. (TASE:SAE).
No comments:
Post a Comment