Israel Discount Bank to Launch New Cal Credit Card Tender
Israel Discount Bank will launch a new tender to sell credit card company Cal after a previous 3.75 billion NIS deal collapsed over regulatory competition concerns.
Israel Discount Bank is set to launch a new tender in two to three weeks to sell its holdings in the credit card company Cal, following the expiration of an agreement with George Horesh and Harel Insurance. The previous deal, valued at 3.75 billion NIS, collapsed after the Israel Competition Authority conditioned its approval on Horesh divesting his 35 percent stake in Super-Pharm.
Under regulatory pressure, Discount Bank must complete the sale of controlling stakes by May 2027. The bank is currently preparing updated data rooms via KPMG before opening the process to prospective buyers. While the previous agreement included both Discount Bank's 72 percent stake and First International Bank's 28 percent stake, Horesh and Harel are reportedly restructuring their bid to include American funds Gallatin Point Capital and Centerbridge Partners to mitigate regulatory hurdles.
Over ten entities have expressed interest in the upcoming tender, including Delek Motors controlled by Gil Agmon, Bank of Jerusalem, and various institutional investors. Meanwhile, Cal's CEO Yafit Griani has successfully steered the company through client transitions following the loss of El Al's Fly Card club to Isracard, securing new members for the alternative Fly All program.
