Delek Group Ltd., the Israeli conglomerate with interests from energy to insurance, picked Goldman Sachs Group Inc. and Citigroup Inc. to set up a company to hold its energy activities.
The banks will also manage the new unit’s listing abroad, Itay Gore, a spokesman for the Netanya-based Delek, confirmed. A time frame hasn’t been set for the spinoff or the share sale, which will probably be in London, he said.
Delek’s structural change, announced in December, will enable a larger and more varied group of investors to access the company’s activities, Asaf Bartfeld, the group’s chief executive officer, said at the time.
Delek shares have advanced more than 50 percent in the past 12 months, making them the best performers on the TA-25 benchmark index. The company has been selling non-energy assets to focus on its oil and gas business, and the offshore Tamar natural gas field, in which it holds stakes via units, started production in March last year.