The courtship continues: Delek Israel asks Shufersal to reconsider the merger proposal

“Delek Israel’s shareholders were very surprised by Shufersal’s decision to reject the merger proposal between the two companies.” This is what Delek Israel wrote in a letter to the Shufersal board of directors. The Shufersal board is required in a letter to discuss the proposal again. The letter was sent by Delek Israel’s attorney Adv. Adi Salzman.

Read more in Calcalist:

The letter, which is Delek Israel’s first official response to the board of directors, was delivered after Shufersal’s board decision to reject Delek’s proposal to merge the two companies, with the departure of chairman Yaki and Damani.

Delek Israel, which is controlled by Avi Levy and Eli Lahav, offered an immediate inflow of NIS 100 million to Shufersal and a merger in exchange for 12% of the Shufersal shares that Baldek shareholders will receive, with options to grow to about 20% within a year. The proposal included a request from Delek shareholders to appear before the Shufersal board of directors and express their position.

One of the reasons why the proposal fell to Shufersal’s board of directors, according to estimates, was the cooperation in its submission with Vadmani that the institutional owners of Shufersal went into a covert struggle against it. ” That some reference had been made to it earlier, “Adv. Salzman wrote in the letter.

Delek Israel complains that it was not given the opportunity to present the offer in a more detailed and reasoned manner, and therefore the offer is not complete and clear, and therefore the answer to it deserves to be given only after it has been presented as stated.

Delek Israel shareholders have good and convincing explanations against each of Shufersal’s reasons for rejection, and we are confident that if you allow Delek Israel shareholders’ representatives to appear before the Shufersal committee and / or board of directors, their opinion will change, so that they see the many benefits inherent in Shufersal and owners. Its shares in the merger deal. ” This is what Salzman claims and asks the Shufersal board to reconsider the decision to reject the proposal. Delek Israel states that it has no objection to the approval of the merger being subject to a decision of a general meeting of Shufersal shareholders.

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