Koor sells another 6.2 million Credit Suisse shares
JERUSALEM (Reuters) - Israeli holding company Koor Industries (KOR.TA) has sold another 6.2 million shares in Swiss bank Credit Suisse (CSGN.VX) for 175.87 million Swiss francs ($193 million), the company said on Sunday.
Koor expects to post a capital gain of 17 million shekels ($4.8 million) in the fourth quarter.
The company said it used nearly 70 million francs from the latest sale to pay back part of its loans from Morgan Stanley and Citibank that were guaranteed by Credit Suisse shares. It still has outstanding loans of 148 million francs.
Following the sale, Koor holds 13.86 million shares, or 0.87 percent of Credit Suisse, worth 394 million francs.
In July, Koor's board approved a change in the company's investment policy that would enable it to sell shares in Credit Suisse.
"The company intends to continue selling Credit Suisse shares in accordance with its policy," Koor, a unit of IDB Holding Corp (IDBH.TA), said in a statement.
Since the change in policy, Koor has sold 17.2 million Credit Suisse shares for 488.4 million francs. Koor in the third quarter will record a gain of 149.3 million shekels from the sales as well as a profit of 247.2 million for the increase in value of the remaining shares in the Swiss bank.
($1 = 0.9099 Swiss francs)
($1 = 3.5460 Israeli shekels)
(Reporting by Steven Scheer)
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