ELBIT IMAGING ANNOUNCES UPDATE REGARDING THE AGREEMENT TO SELL ITS HOLDINGS IN THE PROJECT IN BANGALORE, INDIA
10 April 2019 - 11:53PM
Elbit Imaging Ltd. (“EI” or the “Company”) (TASE, NASDAQ:
EMITF) announced today, that Elbit Plaza India Real Estate
Holdings Limited (a subsidiary held by the Company (50%) and Plaza
Centers N.V. (50%)) ("
EPI"), has reached an
understandings with the purchaser (the
"
Purchaser") of the 100% interest in a Special
Purpose Vehicle which holds a site in Bangalore, India according to
which: (i) the closing date for the transaction will be extended to
November 2019 (instead of August 2019) (the "
Closing
Date"); and (ii) the consideration will be increased to
approximately €45.64 (INR 356 crores) (instead of INR 350 crores)
(the "
Consideration"). The Closing Date can be
further extended to August 2020, subject to mutually agreed payment
terms.
As of the date hereof, the Purchaser paid to EPI
approximately €10.26 million (INR 80 crores) on account of the
Consideration, which EPI is entitled to forfeit if the Purchaser
does not close the transaction as per the agreement. Further, the
Purchaser has mortgaged approximately 8.7 acres of plots as
security for completion of the transaction.
The remainder of the Consideration
(approximately €35.38 million (INR 276 crores)) is to be paid by
the Purchaser as follows: (i) a total of approximately €6.41
million (INR 50 crores) will be paid in unequal monthly
installments until the Closing Date; (ii) a total of approximately
€28.97 million (INR 226 crores) will be paid upon Closing Date.
EPI and the Purchaser have not yet signed a
revised agreement and there is no certainty that such a revised
agreement will indeed be signed and /or what its final terms
be.
The information detailed above, concerning the
possibility of signing the revised agreement to sell the site in
Bangalore, India, is a forward-looking statement. Actual results
may differ materially from those projected, expressed or implied in
the forward-looking statements a result of various factors
including, without limitation, a change in market conditions,
disputes with the purchaser and the factors set forth in our
filings with the Securities and Exchange Commission including,
without limitation, Item 3.D of our annual report on Form 20-F for
the fiscal year ended December 31, 2017, under the caption “Risk
Factors”. Any forward-looking statements contained in our releases
speak only as of the date of such release, and we caution existing
and prospective investors not to place undue reliance on such
statements. Such forward-looking statements do not purport to be
predictions of future events or circumstances, and therefore, there
can be no assurance that any forward-looking statement contained in
our releases will prove to be accurate. We undertake no obligation
to update or revise any forward-looking statements.
About Elbit Imaging Ltd.
Elbit Imaging Ltd. operates in the following
principal fields of business: (i) medical industries through our
indirect holdings in Insightec Ltd. and Gamida Cell Ltd.; (ii) land
in India which is designated for sale (and which was initially
designated for residential projects).
For Further
Information:Company ContactRon
HadassiCEO and Chairman of the Board of DirectorsTel:
+972-3-608-6048Fax: +972-3-608-6050ron@elbitimaging.com