After revealing in mid-November plans to sell a majority stake in Israeli investment firm Psagot, York Capital announced it has inked a deal with Apax Partners to go ahead with the transaction. Apax will acquire a 76% stake in Psagot at a cost estimated to be near USD 822 million. Los Angeles-based Markstone Capital Group owns the remaining 24% and has not disclosed whether or not they intend to hold on to their stake. York Capital, which paid USD 300 million for Psagot three years ago, hopes to realize a profit from the sale in the neighborhood of USD 265 million.
Psagot Ofek Investment House Ltd. was formed in 2003 through a merger between Psagot Mutual Fund Managers and Ofek Securities and Investments.
The firm offers investment and brokerage services in mutual funds, pensions, provident funds, retirement funds, as well as research and asset management services. Psagot’s clients include insurance institutions, non-profits, public institutions, and municipal, regional, and federal governments. The company is based in Tel Aviv and employs several hundred people.
Apax Partners (www.apax.com)
New York-based Apax Partners is an international private equity firm managing a group of Apax Funds targeted at the financial, health care, media, retail, and technology sectors. A typical Apax investment involves large companies valued between € 1 billion and € 5 billion, with a strong track record and good growth potential. Apax investors include financial institutions, insurance companies, pension funds, endowments, and institutional investors.