The IDB group is the latest to join the wave of bond issues sweeping the Tel Aviv Stock Exchange in recent weeks. IDB group member Clal Industries & Investments on Sunday completed a non-negotiable bond issue worth some NIS 100 million, for institutional investors, at 4.5% interest.
The issue was led by investment bank Ilanot Batucha, another IDB group member.
The present bond offering complements an August 2001 offering. At the time, Clal Industries management approved raising some $100 million in 2001. Although orders came to about NIS 462 million last August, the company decided to issue bonds for no more than some NIS 339 million.
It is possible that Clal Industries wanted to make good use of the market conditions and the lower interest rates. Given the current market conditions, the IDB group may issue more bonds.