By letter dated November 30, 2015, the Company reported a subscription, through subsidiaries, of additional shares of Dolphin Netherlands B.V. for a total amount of U$S52,000,000. The funds will be used by Dolphin Netherlands B.V. in order to grant a subordinated loan to IDB Development Corporation Ltd. (“IDBD”) for up to a total amount of NIS$210,000,000. The Company intends to capitalize the loan, once the obligation to launch offers to purchase of IDBD shares is terminated (“Tender Offers”) in accordance with the terms of the agreement entered into with IDB Holdings Corporation Ltd. and its creditors (“Arrangement”).
It shall be noted that the referred loan shall be considered as part of the commitment assumed by Dolphin Fund Ltd., in the frame of the Arrangement, of subscribing additional shares of IDBD for up to the sum of NIS$200,000,000, whether through its capitalization, in the event of a capital increase in IDBD, or its replacement, in the event there is no such capital increase.
Upon request to the Audit Committee, in the terms of Chapter III of the Rules of the Comisión Nacional de Valores, and in accordance with article 110 item h) of Capital Markets Law (Ley de Mercado de Capitales Nº26,831), it has issued an opinion without objections with regard to the referred operation, remaining such opinion available for the shareholders in the headquarters of the Company.