Blue Square and Bilu to Purchase Koor Industries' Holdings of Home Centers.BNEI-BRAK, Israel--(BUSINESS WIRE)--April 14, 1998-- 15.4 Percent Position to Sell at Seven Percent Premium Home Centers (DIY DIY abbr. do-it-yourself DIY or d.i.y. Brit, Austral & NZ do-it-yourself DIY abbr DIY do it yourself a DIY shop/job. ) Ltd. ("Home Centers") (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :HOMEF), Israel's leading chain of warehouse-type home improvement centers, today reported that Koor Industries Ltd. (NYSE NYSE See: New York Stock Exchange :KOR) reached an agreement to sell all of its holdings in Home Centers to Blue Square-Israel Ltd. (NYSE:BSI BSI - British Standards Institute ), a principal shareholder, at a price of $17 per share. Koor Industries Ltd., Israel's biggest industrial exporter, owns approximately 15.4 percent -- 733,200 shares -- of the currently issued and outstanding shares of Home Centers. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Koor, the sale of its equity interest in Home Centers is part of its strategic program of exiting industries that are not part of its core businesses, mainly telecommunications and chemicals. The shares are to be sold at $17 per share, an approximately seven percent premium to last Thursday's closing share price of $15 7/8. At the same time, Bilu Enterprises (H.C.) Ltd. (TASE TASE Tel Aviv Stock Exchange TASE The All Seeing Eye TASE Tactical Air Support Element TASE Thrust Assessment Support Environment TASE Telecontrol Application Service Elements (IEC communications protocol) :BILU), Home Center's largest shareholder, announced that it has entered into an agreement with Blue Square, regarding the management of Home Centers and voting rights Voting rights The right to vote on matters that are put to a vote of security holders. For example the right to vote for directors. voting rights The type of voting and the amount of control held by the owners of a class of stock. with respect to their shares of Home Centers. In addition, under the terms of the agreement Bilu will purchase from Blue Square an approximately 8.8 percent interest in Home Centers -- 418,900 shares -- at the price of $17 per share. Blue Square has a right of put to sell its remaining shares to Bilu. Upon completion of this transaction, Bilu will hold 47.84 percent and Blue Square will hold 30.26 percent of the issued and outstanding shares of Home Centers. The transaction is subject to the completion of the purchase by Blue Square of Koor's shares of Home Centers, the approvals of the Israeli Controller of Restricted Trade Practices and the board of directors of each of the companies. Commenting on these transactions, Levy Kushnir, chairman of the board of Home Centers stated, "The purchase of such a significant amount of the company's shares at a premium price attests to the strong faith of Home Centers' two principal shareholders in the future of the company. We are very proud of our progress and plan to justify our investors' faith in us." Home Centers (DIY) Ltd. provides a comprehensive selection of core home improvement products including tools, paints, plumbing, faucets and electrical and building materials Building materials used in the construction industry to create . These categories of materials and products are used by and construction project managers to specify the materials and methods used for . , as well as housewares house·wares pl.n. Cooking utensils, dishes, and other small articles used in a household, especially in the kitchen. , a complete line of home textiles, ready-to-assemble furniture and kitchen cabinetry, automotive accessories and outdoor goods. Together with the company's leased departments, which offer home electronics, appliances, lighting, carpets, bathroom fixtures, and bedding and linens, customers can purchase most of their home improvement and maintenance needs under one roof. Home Centers currently operates thirteen stores, including one "Express"-format store, in Israel. -0- This press release contains certain forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. With the exception of historical information contained herein, the matters discussed in this press release involve risks and uncertainties. Actual results could differ materially from those expressed in any forward looking statement made by or on behalf of Home Centers (DIY) Ltd. This release is available on the KCSA KCSA Krannert Center Student Association KCSA Kentucky Crushed Stone Association (Frankfort, KY) KCSA Kyiv City State Administration KCSA Kalamazoo Christian School Association KCSA Kentucky-Canadian Studies Association Worldwide website at www.kcsa.com CONTACT: Home Centers Ltd. Aharon Meidan, 011-972-3-579-9678 or KCSA Joseph A. Mansi/Paul Holm 212/682-6300, ext. 205/201 |
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