Business in Brief: Super Pharm Challenges Super-Sol With Online Deliveries Venture

Default funds chosen to offer lower pension management fees ■ Class-action suit against car importers alleges they only show partial price ■ TASE gives up some of its early gains

A Super Pharm pharamacy in Ramat Gan.
Ofer Vaknin

Default funds chosen to offer lower pension management fees

After the High Court rejected a petition by insurance companies against the tender for default funds, Finance Minister Moshe Kahlon and the Israel Securities Authority announced on Sunday the four pension funds that offered the lowest management fees out of six bids. The funds selected were Altshuler-Shaham, Metiav Dash, Psagot and Halman-Aldubi. The proposed administrative funds will be fixed for 10 years. The authority announced that it expected reducing these fees is expected increase employee annuities by 16%, or around 10,800 shekels ($3,000) annually for the average salary. Accordingly, all employers and workers will add members to one of the four winning funds starting from November. The maximal management funds of the selected companies will be 1.49% of the monthly deposits and 0.1% of the accumulated amount at Altshuler-Shaham and Halman-Aldubi; 2.49% and 0.05%, respectively, at Meitav Dash; and 0.905% and 0.08%, respectively at Psagot. (Assa Sasson)

Class-action suit against car importers alleges they only show partial price

A request to join a class-action suit was filed last month with the Haifa District Court against Israel’s major car importers, alleging that they only show part of the price of vehicles they sell. The principle plaintiff, Itai Hoefler, claims he was looking for a new car and discovered that car importers display prices on their websites without all taxes and fees, thereby making it harder to make a fair price comparison. It states that in wake of his request, some companies (Delek, Carasso and Champion Motors), corrected their prices. The plaintiff cited the consumer protection law, which obliges sellers to present all payments for a property or service, including any taxes collected by the seller. The lawsuit seeks 3.6 million shekels ($1 million) in damages, based on an estimated 96,000 shekels per person for wasting half an hour of time. (Efrat Neuman)

Super Pharm challenges Super-Sol with online deliveries venture

Competition between Super Pharm and Super-Sol is heating up, as the pharmacy chain enters the food market offering free deliveries within four hours. The online service, BringBring, is apparently a response to Super-Sol planning next month to enter Super Pharm’s territory with the takeover of New Pharm. The company will offer customers food deliveries through start-up CommonSense Robotics. CommonSense runs a pilot program from its logistics center in Holon. Shares of Super-Sol slipped 0.3% on Sunday to 23.25 shekels. (Hadar Kane) 

TASE gives up some of its early gains

Trade on the Tel Aviv Stock Exchange ended in positive territory, as fears of a trade war between the United States and China eased. Still, the markets gave up most of their early gains after starting the day more than 1% higher. The TA-35 closed at a level of 1597.87, up 0.56%, while the TA-125 also ended up 0.56% to end the day at 1443.23. The biggest gainers were Israel Chemicals (up 3.9% to 22.90 shekels), which closed a new contract reflecting the rise in phosphate prices; Teva Pharmaceuticals (3.6% to 77.60) and The Israel Corporation (up 3.4% to 1,169). Shares of XTL Biopharmaceuticals skyrocketed 24.1% without the company issuing any special announcement in Tel Aviv. In contrast, shares of Kadimastem, which deals in stem cells, dropped 4.7%, while Compugen shares shed 3.4% of their value. (Eran Azran)