Abstract
A new company/entity by the name Negevtech Ltd would function after the Israel Growth Partners business deal is concluded. The business deal, which was declared on 9th March 2008 comprised acquisition of Negevtech Ltd by IGPAC or Israel Growth Partners Acquisition Corp. The write up below throws light on the business deal.
The Israel Growth Partners business deal was announced on the 9th of March 2008. Israel Growth Partners Acquisition Corp or IGPAC acquired Negevtech Ltd in the business deal. Owing to the Israel Growth Partners business deal, a new company would be formed by the name Negevtech Ltd. This company would be publicly held. Negevtech Ltd would get access to the public markets. By doing so, the growth strategies of the company would be fanned. Negevtech Ltd could also avail of the healthy growth trends prevailing in the market.
Israel Growth Partners Acquisition Corp or IGPAC:
Set up in the year 2005 August, IGPAC is a "SPAC" or Special Purpose Acquisition Corporation. It is entrusted with the responsibility of bringing about a capital stock exchange, merger and acquisition of assets and many such similar operations. The company went public on 18th July 2006 by launching an IPO. A total of 532,500 shares of Series A Unit were offered to the public along with 5,118,000 Series B Units. The Series A Units were priced at $8.50 per unit and the Series B Units were priced at $10.10 per unit.
Negevtech Ltd:
Negevtech systems are utilized in the manufacture of semiconductors, which help in identifying defects pertaining to wafers. This allows manufacturers to improve their revenues, enhance productivity and reduce costs. The Step & Image TM technological know how is employed in the various processes of the company. Embracing a new plan related to inspection of IC wafer is on the company's cards.
The Israel Growth Partners Business deal:
Owing to the business deal, Negevtech Ltd will have access to $55,000,000 in the trust account of IGPAC. This is likely to be utilized as the company's working capital. This fund would also be used for sales initiatives (present and future), for incurring costs pertaining to the IGPAC acquisition of Negevtech Ltd. for costs incurred on research and development, clearing debts of Negevtech Ltd.
Allotment of shares:
The stockholders of IGPAC Class B Common Stock and IGPAC Common Stock would be assigned Negevtech 's ordinary shares against the securities currently held. As a result of the Israel Growth partners' business deal, the stockholders of IGPAC would own 51.3% pertaining to Negevtech Ltd.
The business deal between IGPAC and Negevtech is expected to enhance the effectiveness as well as the efficiency of the policies followed in attaining a place of prominence in the financial markets.