TEL AVIV, Israel, Dec. 10, 2017 /PRNewswire/ -- ICL (NYSE &TASE: ICL), a leading global specialty minerals and specialty chemicals company, announced that it has completed the sale of its 50% share of IDE Technologies, a desalination and water treatment company. The net proceeds received, after adjustments, amount to approximately $167 million. ICL expects to record a capital gain of approximately $40 million from the sale in the fourth quarter of 2017. The purchaser of ICL's share is a limited partnership whose limited partners include institutional bodies from the Clal Insurance Company Ltd., the Israel Teachers' Union educational funds' group and Ayalon Insurance Company and whose general partner is controlled by Avshalom Felber, IDE's CEO.
A global leader in water treatment solutions, IDE specializes in the development, engineering, construction and operation of enhanced desalination and industrial water treatment plants. The water treatment company was a non-core business of ICL, and its divestment is part of ICL's strategy to divest businesses with low synergy to the company's main mineral chains and to grow ICL's specialty businesses while carefully managing its capital allocation.
ICL's Acting CEO, Mr. Asher Grinbaum, stated, "The completion of our sale of IDE is concurrent with a number of important developments from the past several days including the signing of an agreement with Energian Oil and Gas S.A. for the supply of natural gas at an attractive price, and the sale of low synergy assets for approximately $1 billion. These actions demonstrate our commitment to execute our strategy and strengthen our operational and financial performance and will enable us to promote innovation and growth in ICL's specialty businesses and in precision agriculture, improve our competitive position in commodities, and reduce our debt leverage."
ICL's Executive Chairman, Mr. Johanan Locker, concluded: "ICL is successfully implementing the Board of Directors' decision to divest non-core assets. These steps will enable us to focus on innovation, growth and the creation of a competitive advantage in ICL's fertilizers and specialty solutions businesses."
ICL is a global manufacturer of products based on specialty minerals that fulfill humanity's essential needs primarily in three markets: agriculture, food and engineered materials. ICL shares are dual listed on the New York Stock Exchange and the Tel Aviv Stock Exchange (NYSE and TASE: ICL). The company employs approximately 13,000 people worldwide, and its sales in 2016 totaled US$5.4 billion. For more information, visit the company's website at www.icl-group.com.