Phoenix unit Gamma eyes NIS 300m IPO
Gamma Management and Clearing provides credit card clearance, loans and other financial services to some 8,000 businesses.
Sources inform Globes that Gamma Management and Clearing, a unit of The Phoenix Holdings Ltd. (TASE: PHOE1;PHOE5), is acting to raise NIS 300 million in an IPO, at a company valuation of NIS 700 million before money.
The offering may include an offer for sale by the company s shareholders, principally The Phoenix Holdings, which holds 49%. The Phoenix Holdings acquired its shares in Gamma in 2008 for just NIS 64 million (at a valuation of NIS 130 million). An offering at a valuation five times higher will give a handsome return on the investment.