Electra Real Estate Ltd. (the “Company”) – Immediate Report The Company hereby gives notice that a foreign corporation of the Company, which holds 91% of the rights to a property in the city of Toronto, Canada, has signed an agreement with a third party for the sale of its rights in the property for a total consideration (100%) of approx. CAD 48 million (approx. NIS 172.8 million).
The sold property is an office building on a total area (100%) of approx. 21,900 sqm.
The Company expects to record a profit from the transaction (before taxes and net of the costs involved in the performance of the transaction) of approx. CAD 0.6 million (approx. NIS 2.16 million), in addition to the profits recorded by the Company in its financial statements of previous years.
The free cash flow which the Company shall generate from the sale of the property, net of repayment of the bank loan received for the financing of the purchase thereof and payment of all the costs involved in the performance of the sale transaction, and before payment of taxes on income, is approx. CAD 20.1 million (approx. NIS 72.4 million).
The closing of the transaction, subject to fulfillment of all the conditions under the sale agreement, is scheduled to be performed by the end of 2011.