Electra to buy Israel cement unit

Electra to buy Israel cement unit
Published: 27 March 2011

Gershon Salkind is succeeding where Nochi Dankner failed. Electra Ltd controlled by Salkind through Elco Holdings Ltd is in negotiations to purchase cement company Hanson Israel Ltd. for NIS425m (US$120m).

In a notice to the Tel Aviv Stock Exchange (TASE), Electra said that it has begun due diligence. The parties have agreed to conduct exclusive negotiations on a deal during a time frame to be determined.

Heidelberg Cement AG owns Hanson Israel. In late 2009, the Antitrust Authority rejected an attempt by Nochi Dankner controlled Nesher Israel Cement Enterprises Ltd. to acquire and merge with Hanson Israel for NIS 250 million. IDB unit Clal Industries and Investments Ltd owns 75% of Nesher and Ireland’s CRH plc owns 25%.

Hanson Israel produces and imports cement, plaster products, asphalt, and aggregates for the construction industry. The company has an independent logistics and transportation network.