Azorim uses unusual structure for bonds
Azorim announced plans last week to raise NIS 120 million through a bond issue.
The real estate company, which came up with a new mechanism, means to start by soliciting offers from institutional investors for non-negotiable bonds that would not be listed on the Tel Aviv Stock Exchange.
As for the second stage, Azorim undertakes that during 18 months from the offering date, it will publish a prospectus for registering the issued bonds on the exchange.
If it ultimately does not register the bonds, investors will be given an early redemption option.
Maalot will be rating the bonds, which will bear fixed annual interest set by auction.
Clal Finance Underwriting will be handling the offering, together with Leumi & Co and Harel Underwriting.