Competition Authority Sources Say Faulty Presentations Shifted Cal Sale Review

Sources close to the Israel Competition Authority said staff gave favorable early indications for Discount Bank's planned sale of Cal after evaluating the parties' proposed remedies and representations, but later checks found parts of those representations inaccurate. The newly disclosed account describes a shift in the review before the authority imposed a condition requiring purchaser Union Investments to divest its Super-Pharm stake. Discount Bank's September 23 filing says the purchasers stated that the agreement would be canceled when its November 1 extension ends if the condition remains, with the sellers entitled to NIS 187 million in compensation. Sources close to Discount Bank said they fear possible investor claims over the buyer selection.