The Bank of Israel will not permit nonbanking credit company Nawi Brothers Group to control the credit card company with a stake of just 25%.
The Bank of Israel notified Israeli nonbanking credit finance company Nawi Brothers Group (TASE: NAWI) yesterday that it will not allow the company to control credit card company Isracard (TASE: ISCD) with a stake lower than that required by law - 30%. Three weeks ago, Nawi Brothers announced that it planned to ask the Bank of Israel for a control permit with a stake of between 20% and 25%.
Nawi Brothers, controlled by Dori Nawi, currently holds 5% of Isracard, having become a party at interest in the company in January this year.
In 2019, when Isracard was still held by Bank Hapoalim, but the bank was obliged by legislation meant to reduce concentration in the financial services sector to sell the company, Nawi Brothers considered buying a controlling stake, but did not go ahead with the idea. It appears that this time round too it will not gain control.
Published by Globes, Israel business news - en.globes.co.il - on March 27, 2024.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2024.
Dori Nawi credit: Eyal Izhar