Business in Brief: Israeli Defense Chief 'Halts Israel Aerospace IPO'

Gazit-Globe accepts precommitments for $151m in bond offering

Unmanned aerial vehicles at the Israel Aerospace Industries Ltd. booth at the Singapore Airshow, Singapore, February 17, 2016
SeongJoon Cho/Bloomberg

Defense minister halts Israel Aerospace IPO, citing security fears: report

Defense Minister Avigdor Lieberman has ordered a halt to preparations for an initial public offering of Israel Aerospace Industries over fears of possible security breaches, Israeli business daily Globes reported Monday. State-owned IAI was considering offering a minority stake in the company but Lieberman ordered a halt to the IPO preparations after ministry officials expressed concerns that outside investors might become privy to highly classified information, the report said. It added that the freeze would remain in place at least until senior Defense Ministry officials complete a detailed report on the implications and possible risks if IAI shares were to be issued to the public. The Defense Ministry declined to comment and an IAI spokeswoman was not immediately available. IAI Chief Financial Officer Eyal Younian told Reuters in March 2017 that to help finance acquisitions the government should move ahead soon with plans to sell a 20% stake in the company on the Tel Aviv Stock Exchange. (Reuters)

Gazit-Globe accepts precommitments for $151m in bond offering

Israel’s largest real-estate company, Gazit-Globe, said Tuesday it accepted precommitments from institutional investors to buy about 554 million shekels ($151 million) in bonds. Demand from institutional investors reached 1.2 billion shekels ahead of an offering to the public. On Sunday the company said it was looking to expand a series of bonds that has been trading on the Tel Aviv Stock Exchange since February. (Reuters)