Israel Corp, said last Wednesday it planned to split itself into two companies and that it was considering a foreign listing for its non-chemicals businesses.
Israel Corporation Ltd. is Israel’s largest holding company - a global player with over 75% of its consolidated revenues derived from worldwide operations. Its core holdings focus on industries that meet basic human, industrial and economic needs: fertilizers and specialty chemicals, energy, shipping and transportation.
The proposed break-up would see Israel Chemicals split from the holding company’s internationally-focused non-chemicals businesses, including its fully-owned IC Power and IC Green Energy, its 38% stake in Tower Semiconductor and its 50% stake in Chinese carmaker Qoros into a new company whose shares will be distributed among Israel Corporation shareholders.
Meanwhile, the original Israel Corporation will be left with its 52% controlling share in Israel Chemical Limited and a 37% stake in Oil Refineries Ltd. (Bazan). The latter group would be spun off into a new company that would be traded either on an international exchange or the Tel Aviv Stock Exchange, Israel Corp said.
The company expects the process to take between six and twelve months to complete.