Maccabi Tel Aviv Ownership Dispute Heads to Court

Businessman Richard Daiz, who owns 17.5% of Maccabi Tel Aviv basketball club shares, announced Friday he will exercise his right of first refusal to block the sale of the Recanati family's 29% stake to an American company owned by Jason Levin. Daiz criticized the proposed sale, citing excessive risk and a lack of connection to the club or European basketball experience for the buyer, stating his decision aims to protect Maccabi.

Following Daiz's announcement, a board meeting was held to discuss the sale. Ben Ashkenazi, who holds an additional 9% of the club's shares (down from 10%), was also involved in the transaction, having previously diluted his stake. With Daiz exercising his right of refusal, he could potentially increase his total shareholding to 55.5% or even 62%, making him the primary controlling owner.

The ownership saga began six months ago when the Federman family sold half their shares (14.5%) to Eyal Stilman, CEO of the team's main sponsor, Rapid. The Recanati family then exercised their right of first refusal, purchasing the Federman shares for $50 million and halting that transaction. Subsequently, the Recanati family announced their intention to sell their 29% stake to Levin's American company.

Sources close to the club anticipate the dispute will end up in court, suggesting that without judicial intervention, the right of first refusal could be exercised by any shareholder in future transactions. Shimon Mizrahi also holds a right of first refusal, which could significantly alter the ownership structure if exercised.

The deadline for exercising the right of first refusal regarding the Recanati family's shares expires soon. Until then, Shimon Mizrahi or Ben Ashkenazi could still exercise their rights and prevent the sale to Levin's company.