Israel’s Delek Group said on Tuesday it was in advanced talks to sell its remaining 30 percent stake in insurer Phoenix Holdings for 1.6 billion shekels ($442 million).
Delek did not name the potential buyer, saying in a regulatory filing in Tel Aviv that it was to foreign investors and that the parties are working to formulate understandings regarding the transaction including providing a loan to the investors.
In recent months, Delek has been selling off small stakes in Phoenix, one of Israel’s largest insurance companies, in a series of transactions.
Delek, which holds significant stakes in Israel’s largest natural gas fields and other energy assets, is required to sell Phoenix under Israeli regulation that prohibits conglomerates from holding stakes in both financial and non-financial businesses.
It has been trying to sell its stake in Phoenix for more than six years. Several deals have been blocked by Israeli regulators who are concerned about some foreign groups taking over the company, which manages pension funds.
Source: Reuters.com