Melisron Cancels Gold Mall Acquisition After Competition Authority Signals Rejection

Melisron announced on Monday evening that it is withdrawing from its planned acquisition of 51% of the rights in the Gold Mall following indications from the Israeli Competition Authority that the deal would not be approved. The company stated that it believes the transaction does not raise competitive concerns warranting rejection and had extensively detailed its reasoning. However, considering the prolonged proceedings and the authority's stance, Melisron chose not to exhaust further legal appeals or proceedings. Consequently, since the condition precedent was not met, the deal will not be completed.

In recent months, the Competition Authority had signaled to Melisron's management that approval was unlikely. Two hearings were held before the Competition Commissioner, Michal Cohen, who remained unconvinced. An additional committee hearing was scheduled for Wednesday to allow Melisron to contest the authority's decision, but the company’s withdrawal rendered this moot.

This development marks a significant setback for Melisron’s expansion plans in the retail real estate sector. The Competition Authority’s firm position reflects ongoing regulatory scrutiny over market consolidation in Israel’s shopping mall industry.