Chinese investment giant Fosun has signed an agreement to buy the Israeli Dead Sea cosmetics company Hahava.
Fosun International in June agreed to buy control of Israeli insurer Phoenix from Delek Group Ltd.
The agreement in principle states that the value of Ahava’s business for the deal will be between company valuation of NIS 300 million ($77 million)
Ahava controlled by Gaon Holdings, the Livnat family and Shamrock Holdings, the investment vehicle of a wing of the American Disney family – with control a combined 53% of Ahava.
The other shareholders are kibbut Mitzpeh Shalem with 35%, and a group of local kibbutzim with 6.7% and Kalia with 5.8%.
Gaon Holdings said that it had been agreed that Fosun would hold at least 51% of Ahava’s shares, and that if it holds less than 100%, an agreement would be signed arranging the company’s management, protecting the minority shareholders, and arranging “the terms under which the minority shareholders can sell their holdings in Ahava.”
Ahava’s plant is located in the West Bank which made the company a target of the global boycott, sanctions and divestment (BDS) movement.
Three years ago it was forced to close its London store after weeks of demonstrations by pro-Palestinian groups.
The company is planning to transfer its plan into Israel.
Ahava employs 225 workers and had turnover last year of 184 million shekels ($48.3 million).