Israel's Merhav-Ampal gets tenders for 16.99% of Gadot shares, 66.76% of convertibles

By Jennifer Chiou

New York, Aug. 6 - Ampal-American Israel Corp. said its wholly owned subsidiary, Merhav-Ampal Energy Ltd., obtained tenders from holders of 16.99% of the common shares and 66.76% of the convertible debentures of Gadot Chemical Tankers and Terminals Ltd. in its offers in Israel.

The company previously said it would pay NIS 5.798 per share, or $1.673, for the stock and NIS 1.642 per bond, or $0.474, for the convertibles.

The offers were to expire on Aug. 5 at 5:30 p.m. Israel time. They began on July 22. In about five days, the company said it will receive a report from the Tel Aviv Stock Exchange confirming whether the number of remaining debenture holders is sufficiently low so that Gadot will not be a reporting issuer.

As already reported, the completion of the offer is conditioned upon the tender of at least 15.72% of the outstanding shares of Gadot and of a sufficient number of convertible debentures such that Gadot will not be reporting issuer.

If the offers are consummated, Ampal said it would hold all of Gadot's shares and 66.76% of the debentures, and Ampal would pay a consideration of 83,388,720 NIS in the offer.

When the offer began, Ampal held 79.28% of Gadot's outstanding shares through Merhav.

Gadot is a Netanya, Israel, chemical industry and sea freight services company.

Tel Aviv, Israel-based Ampal and its subsidiaries acquire interests primarily in businesses located in Israel or that are Israel-related.

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