JERUSALEM, May 14 (Reuters) - Israeli energy conglomerate Delek Group said on Thursday it will hold an offering for up to 2 million shares after it committed to raise money to appease bondholders.
Delek, which has stakes in Israel’s two largest natural gas fields, has been hard hit by the drop in energy prices and has been selling assets.
Its subsidiary Delek Drilling said on Thursday it expects a 10-20% drop in net revenue from the Tamar and Leviathan gas fields in 2020 and a 5-15% fall in 2021.
Delek Group said the shares will be offered in bundles of 25, with each share priced at 100 shekels ($28.30) and will also include 12 stock options. Delek shares closed on Wednesday at 113.9 shekels.
On Wednesday Delek signed an agreement with bondholders in which it committed to raise 200 million shekels in cash by the end of the month, and another 200 million shekels in two stages by the end of the year, to prevent bondholders from calling for the immediate repayment of debt to them.
Separately, Delek Group on Thursday said it sold its 18.6% stake in citrus fruit supplier Mehadrin Ltd for 73.8 million shekels. ($1 = 3.5330 shekels) (Reporting by Ari Rabinovitch; Editing by Tova Cohen)