Connect with us

Hi, what are you looking for?

Jewish Business News

Business

Yitzhak Tshuva’s Delek Seen Selling Tamar Rather than Leviathan

The regulator’s decision to declare Tamar and Leviathan a monopoly could hit Delek’s planned London IPO.

Yitzhak Tshuva
/Amiram Barkat and Ron Stein/

Delek Group Ltd. (TASE: DLEKG) controlling shareholder Yitzhak Tshuva will propose to Israel Antitrust Authority head David Gilo giving up the Tamar gas field and continuing holding the Leviathan field, energy market sources believe. This follows Gilo’s decision to backtrack on his previous agreement, subject to a hearing, to let Delek and Noble Energy Inc. (NYSE: NBL) continue holding both the Tamar and Leviathan gas fields.

Gilo now feels Delek and Noble have a monopoly in natural gas production in Israel and will demand splitting ownership of the fields. Following Gilo’s decision, the shares of the Leviathan partners, Delek units Avner Oil and Gas LP (TASE: AVNR.L), Delek Drilling Limited Partnership (TASE: DEDR.L) and Ratio Oil Exploration (1992) LP (TASE:RATI.L) fell sharply on the Tel Aviv Stock Exchange.

Gilo’s dramatic decision could also halt Delek Group’s plans for a major offering on the London Stock Exchange next year. Delek Group sources said, “It’s a little bit too early to think about that now. The Group has time to promote the step before April 2015.”

Delek has been promoting an overseas IPO for the past year as part of its strategy of focusing on energy activities including exploration, production, transport, and marketing, and exiting non-core activities. Delek had considered spinning-off activities but ultimately decided to dual list and raise money in London. The latest regulatory decision now leaves the planned offering in doubt.

Published by Globes [online], Israel business news – www.globes-online.com

Newsletter



Advertisement

You May Also Like

World News

In the 15th Nov 2015 edition of Israel’s good news, the highlights include:   ·         A new Israeli treatment brings hope to relapsed leukemia...

Entertainment

The Movie The Professional is what made Natalie Portman a Lolita.

Travel

After two decades without a rating system in Israel, at the end of 2012 an international tender for hotel rating was published.  Invited to place bids...

VC, Investments

You may not become a millionaire, but there is a lot to learn from George Soros.

Advertisement