Delek Israel has completed the 70% acquisition of Burger King Israel, the company announced today (Thursday).
The company stated that Delek Israel is expected to invest tens of shekels in the development of Berger King in Israel in the immediate term, with the investment in each branch estimated at NIS 1.5 million. Berger King Israel is expected to undergo a significant development process and grow from 9 branches today to dozens of branches nationwide within a few years.
Delek Israel also notes that some of the branches will be established inside the gas stations as a complementary service, similar to what is customary all over the world, and in addition dozens of branches will be established outside the gas stations in the various formats accepted in the global network.
Yoram Eyal, CEO of Delek Israel, said today: “The deal reflects another tier in the company’s strategy led by the new management, to expand its grip in the retail sector, with the intention of providing consumers with a wide range of products under one group. We joined Burger King Israel in order to differentiate ourselves from the competition, and in the process we can combine the company’s activities. “
On Tuesday (Tuesday), Delek Israel shareholders submitted a proposal to merge the company into Shufersal. According to the proposal, Delek Israel shareholders will transfer all of their holdings in the company to Shufersal, in exchange for the allotment of Shufersal shares. The conversion ratio in the transaction will be calculated according to valuations performed for the two companies by an external valuer.
Delek Israel is held by Lahav L.R. (40%), Uri Mansour (35%) and the Delek Group (25%). On the other hand, Shufersal is a company without a controlling interest, in which 60.4% of the shares are held by the six largest institutional entities in Israel.