Breaking News

Tweet TWEET

Ampal of Israel Is in Talks to Acquire Gadot Tankers

Ampal-American Israel Corp. (AMPL), an Israeli holding company with interests in energy and real estate, is in talks on taking over Gadot Chemical Tankers & Terminals Ltd. Gadot rose the most in almost five years in Tel Aviv trading.

Ampal is in ``preliminary talks'' on buying a controlling stake from unidentified sellers in a deal that would value the Netanya, Israel-based company at 545 million shekels ($135 million), the two companies said in separate statements today.

The offering valued Gadot at about 45 percent more than its Tel Aviv Stock Exchange market value of 377 million shekels prior to the announcement. The stock jumped as much as 11 percent to 7.24 shekels, and traded up 8.5 percent, the most January 2004, at 7.04 shekels as of 2:43 p.m. local time.

The company, which ships, stores and distributes liquid chemicals and oil, is 66 percent-owned by Moshe Johananoff, whose family formed it in 1959, according to Gadot's Web site.

Tel Aviv-based Ampal, which is controlled by Yossi Maiman, is boosting its energy holdings. Ampal increased its stake in East Mediterranean Gas Co., an-Israeli-Egyptian gas pipeline operator, to 12.5 percent 11 months ago. It dropped out of bidding to buy state-owed Oil Refineries Ltd. last year.

To contact the reporter on this story: David Rosenberg in Jerusalem at drosenberg1@bloomberg.net

To contact the editor responsible for this story: Chris Kirkham at ckirkham@bloomberg.net

Bloomberg reserves the right to edit or remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.