Rehovot Mall Deal: Shurka-Rabonovitch Threaten To Sue Amot

Leading text: "Shurka-Rabonovitch threaten to sue Amot over Rehovot Mall dealAmot exercised its right of first refusal on Nitsba's stake in the mall, and sold it to Azorim Properties for NIS 215 million. The deal for the sale of 50% of the Rehovot Mall has run into complications. The Shurka-Rabinovitch consortium that conducted negotiations to buy 50% of the mall from Nitsba Holdings, plans to sue the Azorim Investment, Development and Construction (TASE:AZRM) board. Amot, which owns 50% of the mall, exercised its right of first refusal on Nitsba's share, bought it, and sold it to Azorim Properties for NIS 215 million. During the negotiations that took place in December 2004 between Nitsba and the Shurka-Rabinovitch consortium for the sale of Nitsba's stake in the mall, Amot declared that it intended to exercise its right of first refusal, and then to sell the 50% stake to Azorim Properties. According to sources close to the deal, Amot Investments intends to sell Azorim Properties its own stake in the mall too, so that Azorim Properties will have 100% ownership. The Shurka-Rabivovitch consortium has announced that it intends to sue those involved in the deal, including the directors of Amot, for fraud and tort..."

Source: Guy Yamin. Shurka-Rabonovitch threaten to sue Amot over Rehovot Mall deal. Globes Online (26 Jan 2005) [FullText].

Earlier article: Elazar Levin. Pal-Kal ceiling incident scares Rabinovitch group off Rehovot Mall deal. The banks are thought to be hesitant to provide financial coverage. Globes Online (27 Dec 2004) [FullText]