Castro Model Ltd. completed the acquisition 26.4% stake in four companies.
October 10, 2016
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Castro Model Ltd. (TASE:CAST) signed an agreement to acquire 26.4% stake in four companies for approximately ILS 100 million on August 28, 2016. Castro Model will acquire 26.4% stake in Hoodies Ltd., Top Ten Fashion Accessories Ltd., Carolina Lemke Ltd. and ACC Fashion Ltd. The transaction will be carried out by the acquisition of existing shares and through the allotment of new shares from the target companies. As per the consideration, Castro Model will pay ILS 75 million in cash, of which ILS 21.25 million will be paid for the new shares and ILS 53.75 million will be paid for the existing shares. In addition, Castro Model will allot to a part of the shareholders a total of 266,500 ordinary shares, which will be listed on the Tel-Aviv Stock Exchange. Castro Model plans to finance the deal with its own resources. The transaction, subject to pre-conditions including antitrust authorities approvals, listing approval of the shares to the selling shareholders and approval of relevant third parties, will be completed within seveCastro Model Ltd. (TASE:CAST) signed an agreement to acquire 26.4% stake in four companies for approximately ILS 100 million on August 28, 2016. n days from pre-conditions fulfillment. As of August 31, 2016, Castro Model completed the acquisition of 26.4% stake in Hoodies Ltd. for £17.3 million (ILS 84.94 million). Amit Borba, Sagiv Mizrahi and Moti Dattelkramer of BDO Ziv Haft Consulting & Management, Ltd. acted as financial advisors for Castro Model.
Castro Model Ltd. (TASE:CAST) completed the acquisition 26.4% stake in four companies on October 10, 2016. Castro also got a share option that allow it to acquire another 23.6% of Top Ten Fashion Accessories, Hoodies, Carolina Lemke and ACC Fashion.
Castro Model Ltd is an international fashion retailer and chain operator based in Israel. The Company offers fashion items and accessories for women and men, as well as a cosmetics line. Castro Model operates through a number of subsidiaries, such as Castro Marketing (1985) Ltd., which is engaged in the design, production and marketing of ladies' fashion wear; Castro Asia Macao Commercial (Offshore) Ltd., which is involved in identifying purchase sources, entering into contracts with suppliers, controlling quality and handling international shipping, and Castro UK Ltd., which holds a joint venture with Heinrich Heine GmbH and operates a store in Cologne, Germany. The Company operates 170 stores in Israel, Germany, Switzerland, Russia, Ukraine, Kazakhstan and Thailand.