The group’s energy and energy exploration activities will be concentrated in a new company to be listed on a foreign stock exchange and/or on the Tel Aviv Stock Exchange.
Delek Group (TASE: DLEKG, OTCQX: DGRLY) controlled by Yitzhak Tshuva, announces that the Board of Directors has directed the Company’s management to examine the possibility of a strategic split in the Company’s holdings, aimed at maximizing value for the Company and all of its shareholders.
The outline of such a split contemplates a concentration of the Company’s activity in the energy sector and oil & gas sector under a new company to be incorporated outside of Israel. The New Company shall be held by all of the existing shareholders of the Company.
The Company’s shares and bonds will continue to trade on the Tel Aviv Stock Exchange. Shares of the New Company will register to trade on a foreign exchange and/or on the Tel Aviv Stock Exchange.
The Company shall transfer to the New Company its holdings its holdings in Delek Energy Systems Ltd., Delek Drilling – Limited Partnership, Avner Oil Exploration – Limited Partnership, Cohen Development & Industrial Buildings Ltd. and Navitas Petroleum Ltd., as well as its rights in the Ashkelon and Noa leases (4.441%) and its right to receive royalties from the energy sector, .
The existing liabilities of the Company, will be divided between the Company and between the New Company.
The process of the split, will enable the Company and the New Company to act as independent companies, each focusing on its own business, thus contributing to the exposure of the respective assets of each company to a larger and more targeted investor market in their fields of business, and improving the investors’ ability to evaluate the performance and characteristics of each field of business.
The Delek Group, is the pioneering leader of the natural gas exploration and production activities that are transforming the Eastern Mediterranean’s Levant Basin into one of the energy industry’s most promising emerging regions.
Having discovered Tamar and Leviathan, two of the world’s largest natural gas finds since 2000, Delek and its partners are now developing a balanced, world-class portfolio of exploration, development and production assets with total gross natural gas resources discovered since 2009 of approximately 37 TCF.