Jerusalem Bank (TASE: JBNK) joins the race to acquire credit card company Isracard (TASE: ISCD). The details of the offer submitted by the bank are not yet clear, but it said in a statement that “the bank’s board of directors decided to inform “Isracard” of its intention to submit an offer, within 21 days, for the deal to acquire all the assets.” Shares in Isracard in a triple reverse merger.”
Quds Bank says most of the consideration will be in the form of a stock swap. In addition, as in the case of Menora Miftaim’s bid for Isracard, the deal will include a significant element of dividend or cash payment. “In the Bank’s opinion,” Al-Quds Bank stated, “in the proposed transaction as we mentioned between the Bank and Isracard there is a dimension that would contribute significantly to market competition, and carries broad commercial potential, in light of expectations developments in the market, which could find expression.” expressed in a wide range of synergies and complementary areas of activity.”
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The market capitalization of Al-Quds Bank is only NIS 1.05 billion, while Isracard’s market capitalization is NIS 2.9 billion.
Currently, Menorah Mivtashem is the only candidate with a live bid for Isracard. It offered to buy 33% of Isracard by allocating shares worth 3.15 billion shekels, in addition to distributing profits ranging from 700 million shekels to 1 billion shekels before implementing the deal. Isracard and Menorah Miftahim signed the deal late last month, and must now obtain shareholder approval, and then overcome regulatory obstacles, the most important of which are the Competition Authority and the Bank of Israel.
It is assumed that the Bank of Quds offer will be similar.
Published by Globes, Israel Business News – en.globes.co.il – on November 21, 2024.
© Copyright Globes Publisher Itonut (1983) Ltd., 2024.