Capital market sources believe that IDB Holding Corp. Ltd. has acquired more than NIS 1 billion in shares in Credit Suisse Group. The stake is held through Koor Industries Ltd.
IDB had originally considered buying a stake in Barclays Bank plc, but dropped the idea in favor of focusing on Credit Suisse. In April Koor’s board approved the investment of up to NIS 1.5 billion in European banks. The company has taken great strides towards this goal, and the board may reconvene to increase the investment.
IDB held preliminary talks with a foreign investor last month to sell Koor, whose main holding is Makhteshim Agan Industries Ltd., at a hefty premium. The talks boosted Koor’s share. IDB subsequently decided against a sale and at the same time Koor began to buy European bank stocks, just when they began to plummet.