Moty Ben Moshe Eyes Multi-Billion Shekel Deal to Acquire Credit Card Giant Cal

Moty Ben Moshe, a prominent Israeli businessman, is reportedly emerging as a leading candidate to acquire the credit card company Cal, following the collapse of a previous deal. The agreement between Cal's current owner, Discount Bank, and the Union-Harel group was officially canceled due to regulatory hurdles and a decision by the Competition Authority.

Discount Bank confirmed the deal's termination in a filing to the stock exchange, citing difficulties with the regulator, Michal Cohen. With Discount Bank and International Bank of Israel facing legal deadlines to divest their ownership in Cal, the search for a new buyer has intensified.

Ben Moshe, who controls Extra Holding and Alon Blue Square, had previously submitted an offer that was reportedly hundreds of millions of shekels higher than Union-Harel's. However, his initial bid was rejected due to perceived regulatory risks. Representatives from Discount Bank have now approached Ben Moshe to gauge his interest in re-entering negotiations.

While Ben Moshe possesses significant financial liquidity and has received tacit approval from the Bank of Israel, the path to acquisition remains complex. Similar to the previous deal's conditions, the Competition Authority may require Ben Moshe to sell his controlling stake in Dor Alon, which includes numerous gas stations, convenience stores, AM:PM outlets, and food brands. This potential divestiture presents a significant strategic consideration for him.

Meanwhile, Discount Bank is preparing to claim a contractual penalty of approximately NIS 187 million from the canceled deal. The bank is also exploring alternative strategies, including a potential initial public offering (IPO) for Cal on the Tel Aviv Stock Exchange or seeking an extension from the Ministry of Finance and the Bank of Israel to complete the sale.