This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Eltek Announces That Shareholders Have Approved The Sale Of 3,532,655 Ordinary Shares To Nistec Ltd. For $4.2 Million

PETACH-TIKVA, Israel, October 22, 2013 /PRNewswire/ --

Eltek Ltd., (NASDAQ: ELTK), the leading Israeli manufacturer of advanced circuitry solutions, including complex build ups of Rigid and Flex-rigid PCBs, announced today that at an adjourned shareholders meeting held today, the Company's shareholders approved  the sale of 3,532,655 ordinary shares at $1.19 per share to Nistec Ltd. ("Nistec"), a leading provider of Electronic Manufacturing Services and design services.

Nistec will also acquire all of the holdings of Eltek's major shareholder, Mr. Yossi Maiman (24.1%), and upon completion of the transactions, Nistec will hold the majority of Eltek's issued share capital (50.5%). The closings of both transactions are expected to take place within approximately two weeks, upon the receipt of certain other approvals. 

Shareholders approved all of the proposals that were voted on at the meeting, including, the election of four directors, authority to enter into a management agreement between the  Company and Nistec, the payment of a finder's fee of $200,000 to Merhav M.N.F Ltd., approval of compensation terms for the directors, approval of  the entry into indemnification agreements between the Company and its new directors, approval of  the grant of exculpation letters to the Company's directors and officers, approval of  the  grant of waiver and release letters to current directors and officers, the purchase of a "run-off" insurance policy for the Company's current directors and officers, the purchase of a new directors' and officers' insurance policy and the adoption of amended and restated articles of association.

Arieh Reichart, President and Chief Executive Officer of Eltek commented, "We are very pleased that our shareholders approved the transaction with Nistec and the ancillary proposals that were required in order for the transaction to be effected. We welcome Nistec and the new members of our board of directors."

"The investment by Nistec is an important validation of our vision and achievements and will support our long-term growth plans. It will enable our company to realize its growth potential as well as capitalize on other opportunities in the diverse markets we serve," concluded Mr. Reichart.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs