The most shocking offer in Israel’s insurance coverage industry very last calendar year finally gained the go-forward at the close of very last 7 days when Commissioner of Insurance policies, Savings and Funds Marketplaces Dr. Moshe Bareket gave digital insurance firm WeSure a allow to handle veteran player Ayalon Coverage Organization.

WeSure essential the allow in get to be in a position to buy 67% of Ayalon for NIS 463 million. For the applications of raising the income, WeSure brought Caesarea Professional medical Electronics, managed by Zvi Barak and his wife Anat, into the deal. Barak will make investments NIS 270 million in WeSure.




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Finance was not, having said that, the only, or even the principal hurdle that WeSure experienced to prevail over. Throughout the regulate allow system, the Israel Securities Authority raised the need to have to collapse just one of the levels in the Ayalon group structure, since the Focus Regulation bans a pyramid of a lot more than two firms that are both community or elevate capital as a result of bonds, and the offer would have make such a pyramid: WeSure, a public organization underneath it Ayalon Holdings, a next community enterprise below that Ayalon Insurance policy, a non-public business but considered a layer for the applications of the Focus Legislation and beneath that Ayalon Insurance policy Issuing and Elevating Ltd., a corporation that has lifted credit card debt in a bond giving.

In get to offer with the ban, in early March the boards of directors of Ayalon Holdings and of Ayalon Insurance coverage agreed a merger, collapsing two levels of the pyramid into one particular (insurance firms are exempt from the bond concern provision), so eradicating the obstacle to completion of the deal. At the end of last week, the Commissioner of Insurance, Savings and Money Markets awarded an insurance coverage license to the merged Ayalon Insurance policy.

Soon after the regulatory obstacle was taken out, Bareket gave a control permit to the controlling shareholders in WeSure, Emil Vainshel and Nitzan Zeir-Harim, with each other with Zvi and Anat Barak, enabling them to hold, instantly or indirectly, stakes in WeSure World wide Tech (TASE: WESR), and in the insurance plan businesses that it controls. Previously in the 7 days, the Competitiveness Authority gave its acceptance to the offer concerning WeSure and Caesarea Healthcare Electronics.

Revealed by Globes, Israel business enterprise news – en.globes.co.il – on May possibly 22, 2022.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2022.


