Galaxo receiver petitions court to settle disputed sale of Ace Buy & Build chain
Galaxo's receiver, attorney Meir Lipa, has petitioned the courts to rule on the Ace Buy & Build acquisition dispute. Ace stands to be sold after its holding company, Gad Zeevi's Galaxo, entered receivership. The Gaon Holdings- Shlomo Zabeida group announced yesterday it would exercise its right of first refusal to acquire Ace for $20 million, matching the highest bid from the Markstone fund. Lipa will ask the court to hold a hearing with all parties involved to determine who gets to buy the DIY chain.
Zabeida had been Zeevi's partner in holding Ace shares, and had held a right of first refusal over Ace's shares. But Markstone rejected Zabeida's claim to the right.
Alongside this dispute is Zeevi's claim that the receiver should award him equal conditions in the Ace tender.
A source close to the matter said yesterday that if the court accepts Zeevi's claim, his bid would be the highest and Zabeida would not have right of first refusal as the offer comes from his former partner. The Gaon-Zabeida group did not participate in the tender of sale, so if it loses its right of first refusal, Gaon would not be eligible to buy the DIY chain, the source explained.