Delek Group has successfully completed the sale of its 32.5% stake in The Phoenix Holdings Ltd to the Centerbridge and Gallatin Point Capital investment funds, for a total consideration of NIS 1.57 billion (approximately USD 450 million).
Of the total consideration, NIS 1.335 billion (approximately USD 380 million) was received in cash on November 3rd, 2019 and as part of the agreement, the total consideration may increase by up to a further NIS 866 million (approximately USD 247 million) or decline by as much as NIS 196 (approximately USD 56 million), based on the future returns of the purchasing funds.
The deal sees Delek Group divest completely from its ownership of The Phoenix, in accordance with the provisions of Israel’s Market Concentration Law.
Centerbridge Partners is a venture capital fund based in the UK that manages $27 billion of investments in the insurance, financial services, and real estate sectors.
Gallant Point is a US based investor with a focus on areas undergoing regulatory and technological change, with a specialist focus on financial services and assets across the globe.