AIRPORT CITY BUSINESS PARK, Israel, April 23, 2013 /PRNewswire/ --
R R sat G lo b al C o m m un ica t io n s N e t w o r k Ltd. ( N ASDAQ: R R S T), a leading provider of comprehensive digital content management and global distribution services to the television and radio broadcasting industries, announced today that Viola Group, a leading innovative private equity investment group focused on technology based growth opportunities in Israel withclose to$2 billion under management, entered into agreements with two of RRsat's principal shareholders to acquire approximately 20% of RRsat's outstanding shares for a price per share of approximately $8.
On April 4, 2013, Viola Group entered into a series of agreements to acquire approximately 13% of RRsat's shares from Kardan Communications Ltd. and approximately 7% of RRsat's shares from David Rivel, RRsat's founder, director and former Chief Executive Officer. Following the consummation of the transactions, Kardan will continue to own approximately 11% of RRsat's shares and David Rivel will continue to own approximately 5% of RRsat's shares. RRsat is not a party to the agreements and is not issuing Viola Group any new shares in the transactions.
In connection with the transactions, Viola Group has also entered into shareholders agreements with each of Kardan, David Rivel and Del-Ta Engineering Equipment Ltd., the holder of approximately 39% of RRsat's shares.Consummation of each of the transactions is subject to various conditions precedent, including regulatory approvals.