Gazit-Globe ends process to sell shopping centres in Israel

Israeli real estate developer Gazit-Globe said on Wednesday it has decided to terminate a process to sell its shopping centres in Israel after receiving an offer that did not reflect a significant premium to its book value.

Gazit-Globe said it will continue to develop the portfolio, which performs well, and enhance its value.

Rachel Lavine, chief executive of Gazit-Globe, said that following a comprehensive process the company received a final offer from a third party to acquire the portfolio.

"The final offer did not meet the pre-conditions that we had set for the sale of the portfolio," Lavine said. "Therefore, we have decided to terminate the sale process which is in line with our new strategy to increase the private real estate portion of our business."

Gazit-Globe operates in the United States through Equity One and in Canada through First Capital Reality Inc. It is the largest shareholder in Finland's Citycon, controls shopping mall developer and is expanding in Brazil.