The two biggest shareholders in Israel Discount Bank have announced that they are selling their stake, The Jerusalem Post reported on Wednesday.
Matthew Bronfman and New York real estate investor Rubin Schron sold seven percent of the bank’s total shares, or 74 million shares, on Monday. Schron and Bronfman still hold 18% of the bank — a majority.
Bronfman described his decision to begin selling his shares as an “estate planning decision.”
“My dad [Edgar Bronfman Sr.] will be 85 in June, and is not in the best health,” Bronfman said. “I thought it was best, given his health, to deal [now] with the estate planning issues.”
Citibank has found buyers for the shares in America, Europe and Israel.
“There was quite a strong demand for the shares,” Bronfman said, adding that he didn’t believe the move would adversely affect the bank, and emphasizing that this did not reflect any change in his or his family’s confidence in the Israeli economy.
Discount’s stock fell 3.2% to NIS 6.867 per share, and closed at NIS 7.098 after the sale on Monday.
Bronfman, CEO of BHB Holdings, has ongoing investments in Israel, including the building of an IKEA depot in the north that is scheduled to open in March, and a major shopping mall scheduled to open in the summer.