The largest floatation to ever be offered on the Tel Aviv Stock Exchange has started. The 9.25% stake in the Tamar gas field is expected to be purchased by Tamar Petroleum by the end of next month.
Tamar offshore gas field Photo Credit: Moshe Shai/Flash 90
Delek Drilling LP has started the process of selling its rights in the Tamar offshore gas field in accordance with the gas outline agreement, which is aimed at opening up the Israeli gas market. This floatation, which it worth about $1.2 billion, will be the largest ever offered on the Tel Aviv Stock Exchange.
Tamar Petroleum is expected to purchase from Delek Drilling LP the 9.25% stake in the gas field. Tamar Petroleum was established by Delek Drilling in order to be the firm that purchases the rights.
Tamar Petroleum is expected to purchase the stake with a $650 million bonds offering by the beginning of July and two weeks later, the rest of the money will be raised. The company believes that by the end of July, the process will come to an end.