Agrexco to go private

The first stage of the process will include equalizing stock rights and conducting a valuation of the firm. estimations about the value of Agrexco is in the half-a-billion-shekel range
 
The Ministry of Agriculture announced last week that the council of the Plants Production and Marketing Board approved the privatization of Agrexco, Israel's largest agricultural exporter. The company has over the years gained fame in the production and export of field crops, vegetables, fruits and poultry. The company handles the export of Israel's fresh agricultural produce and is the main export contractor for the Israel Vegetable Board, the Israel Fruit Board and the Israel Flower Board.
 
The idea to privatize the company has been going on for some time with Managing Director Shlomo Tirosh who was keen to see Agrexco put into the producers' hands.
 
According to the framework proposed by Agriculture Minister Shalom Simhon, the first stage of the process will include equalizing stock rights and conducting a valuation of the firm.
Ministry sources estimated last week the value of Agrexco in the half-a-billion-shekel range.
 
The Plants Board, owned by a number of farmers organizations, owns 97% of the shares of Agrexco, and has a 19% voting share. The rest of the voting rights belong to the state, 50%; Tnuva, 25%; and the Poultry Board.All of the owners have approved the privatization plan.
 
According to the Ministry the second stage of the privatization process will include a tender to sell control to a strategic investor, and the remaining shares will be sold on the stock market or be kept by the farmers.