LOD, Israel (IAI PR) — Israel Aerospace Industries (IAI) announced today it has entered an agreement with FIMI, the largest Private Equity fund in Israel (FIMI). Pursuant to the agreement, FIMI shall invest $40 million in ImageSat International (ISI) in exchange for 53.6% of ISI’s share equity.
The agreement further stipulates that ISI shall buy the new observation satellite ‘EROS C’ from IAI and at the transaction closing date, shall pay IAI $35 million to cover part of the outstanding shareholder’s loan. The transaction will allot preferred stock to FIMI with a distribution agreement between IAI and FIMI. The deal is pending approval by the Israeli Ministry of Defense and the Antitrust Authority.