Centerview Bridge Re-enters Race to Acquire Cal Credit Card Company

Centerview Bridge, an investment fund that previously offered 3 billion shekels for the credit card company Cal, is preparing to submit a new bid. The fund is targeting a valuation of 3 to 3.2 billion shekels for Cal. The move is being led by the fund's manager, Ben Langworthy. If the offer is submitted this week, Eli Yonas, the fund's representative in Israel and former CEO of Mizrahi Tefahot Bank, will lead the negotiations with Discount Bank. Yonas previously led Centerview Bridge's acquisition of Phoenix from Yitzhak Tshuva, a holding the fund sold over a year ago for a 2.5 times return on investment. Centerview Bridge may bring in an Israeli partner if discussions progress. In a previous round, the fund had proposed that Melisron, controlled by Liora Ofer, join forces with them. Interestingly, Centerview Bridge will now compete against Glilot Capital Partners, its investment partner in Phoenix. Glilot is joining forces with George Horesh, his company Union, and Harel. Horesh and Harel were unable to acquire Cal alone after the Competition Authority conditioned its approval on Horesh selling his 35% stake in Super-Pharm, which competes with the BE chain whose credit cards are issued by Cal. Horesh insists on acquiring Cal, even without full control, and is willing to settle for a 30-35% stake. Harel would hold 20%, and Glilot would enter with 40-45%. The Competition Authority may approve this arrangement, as discussions with Horesh and Harel emphasized that Horesh's control of the group was the primary issue. Glilot already holds a stake in Discount Bank of New York, making it a partner of Discount Bank. Both Glilot and Centerview Bridge were among the initial investment funds interested in acquiring Cal two years ago when Discount Bank began divesting its 72% stake. In May 2025, Centerview Bridge, along with Moti Ben-Moshe and Horesh/Harel, reached the binding offer stage. Centerview Bridge then offered around 3 billion shekels but withdrew after the bank decided to proceed with Ben-Moshe's Extra and the Horesh/Harel group. Negotiations with Horesh and Harel progressed, and they were awarded the deal for 3.75 to 4 billion shekels, including future payments contingent on milestones. Ben-Moshe offered 4.18 billion shekels, but the bank's management, advised by J.P. Morgan, opted not to select his offer. Centerview Bridge's previous offer also included the Fly Card club, which operated with Cal before moving to Isracard this year. Businessman Zvi Barak, co-owner of Wi-Shore and Ayalon, is also interested in Cal and may submit a joint offer. Wi-Shore has also signed an agreement to acquire control of Altshuler Shaham, raising questions about whether it will receive approval for both deals, a consideration Discount Bank will likely weigh to avoid further regulatory complications. Glilot, having previously received approval to hold an insurance company, may face a faster review process. Jerusalem Bank is also interested in acquiring Cal, having previously attempted to buy Isracard, and has approached several businessmen to join its bid. The Horesh, Harel, and Glilot group has an advantage as they have already conducted due diligence, potentially speeding up their process. They are also expected to lower their price from the previous round. If they overcome regulatory hurdles, it would be a significant advantage for Discount Bank. Horesh and Harel still view the deal as a good opportunity, despite losing the Fly Card club, as Cal's new Fly All flight club has attracted approximately 200,000 customers, helping the company cope with the loss of previous operations. Discount Bank, which is obligated to reduce its stake in Cal to 25-40% by May 2027, has requested a deadline extension from the Ministry of Finance due to the Competition Authority's decision regarding Horesh, but has not yet received a response. The upcoming elections in a week and a half are delaying the process, as legislation cannot be changed during this period without special committee approval, which is unlikely before the elections. It is also uncertain if an interim government will grant an extension, given opposition from social organizations. The International Bank, holding a 28% stake in Cal, has a veto right over its sale and may demand compensation for its consent. However, Bank of Israel and the Ministry of Finance are expected to pressure the International Bank to agree. Ben Langworthy, manager of Centerview Bridge fund, and Avi Levy, CEO of Discount Bank, are pictured.