Kimberly Enterprises Regulatory News (KBE)

1 Dec 2006 07:01

Engel East Europe N.V.01 December 2006 1 December 2006 ENGEL EAST EUROPE N.V. Azorim investing in the Engel Group Engel East Europe N.V. ("Engel East Europe" or "the Company"), the AIM-listedCentral and Eastern European ("CEE") residential property developer (EEE:LN), ispleased to announce that an agreement has been signed whereby Jacob Engel, theExecutive Chairman of the Company, has sold his entire share interests in LagnaHoldings Limited ("Lagna") to Azorim Development & Construction Co. Limited("Azorim"). Azorim is a well established residential developer since 1964 and is one of thetop three largest residential developers in Israel. Yeshayahu Boymelgreen is thecontrolling shareholder of Azorim. Lagna is the ultimate holding Company of the Engel Group and is listed on theTel Aviv Stock Exchange. The Engel Group is a group of Israeli public andprivate companies, which has a majority holding in Engel General DevelopersLimited which in turn is the controlling shareholder of Engel East Europe N.V. Mr. Jacob Engel will remain as Executive Chairman of Engel East Europe until atleast January 2008. Jacob Engel, founder and Executive Chairman, said: "I am pleased to announce this transaction which reflects the great trust thatAzorim, one of the most prestigious residential developers in Israel for severaldecades, has in the Company's activities and management. I am sure that Azorim'stremendous experience in the residential market will be very valuable in leadingthe Company to greater growth and prosperity in the CEE region. Mr. Boymelgreenis a major residential developer in New York, Florida and Las Vegas. " Yeshayahu Boymelgreen, the Controlling Shareholder of Azorim, said: "We are pleased to invest in the Engel Group where among its activities weidentified especially the valuable activity of Engel East Europe in Central andEastern Europe. Azorim is excited by the presence Engel East Europe hasestablished in the region and wishes to participate and accelerate thispotential, sharing benefits with all existing shareholders in Engel East Europe.Azorim intends to use its experience, knowledge and resources in order todevelop and expand the activity and the market share of Engel East Europe in theCEE region. " Enquiries Engel East Europe N.V. Nir Netzer, Finance Director +972 9970 7024 Dawnay Day Corporate Finance (Nomad and financial adviser) Gerald Raingold / Sandy Jamieson +44 20 7509 4570 Citigate Dewe Rogerson Sally Marshak / George Cazenove / Hannah Seward +44 20 7638 9571 Notes to editors Engel East Europe is an international residential property developerincorporated in The Netherlands. The Company operates in Central and EasternEurope (the "CEE Region") and has various developments in Hungary, the CzechRepublic, Poland, Bulgaria, Romania and Serbia as well as operations in Germanyand Canada. Engel East Europe is currently involved in the development ofapproximately 12,000 residential units and is in negotiations to purchase landfor the development of additional projects throughout the CEE Region. This information is provided by RNS The company news service from the London Stock Exchange