BRIEF: Aspen seeks to take over Sella Capital: Sella is a REIT that owns five income-producing properties in Israel, and is negotiating to buy more. [Globes, Tel Aviv, Israel]

Aug. 23--Aspen Group Ltd. (TASE:ASGR), controlled by Rony Zarom, is planning a hostile takeover of REIT Sella Capital Real Estate Ltd. (TASE: SLARL) with an offer of NIS 160 million, a 7 percent premium on yesterday's opening price, but 24 percent less than its shareholders' equity of NIS 210.3 million.

Sella Capital owns five income-producing properties in Israel, which the company books at a value of NIS 316 million. The company has also signed agreements for the purchase of two more properties for NIS 127 million.

Aspen is offering Sella Group's shareholders half in cash and half in Aspen bonds. Aspen has also offered to buy Sella's warrants, subject to court approval. If a deal goes ahead, Aspen will rebrand Sella's properties under the Aspen label.

As a REIT, Sella has no controlling shareholders. DS Apex Holdings Ltd. (TASE:DSAP) owns 8.64 percent of the company and Migdal Insurance and Financial Holdings Ltd. (TASE: MGDL) owns 6.57 percent. 75 percent of shareholders must vote in favor of Aspen's offer for it to be accepted, and Aspen may have to improve its offer.

To see more of the Globes or to subscribe to the newspaper, go to http://www.globes-online.com.

Copyright (c) 2010, Globes, Tel Aviv, Israel

Distributed by McClatchy-Tribune Information Services.

For more information about the content services offered by McClatchy-Tribune Information Services (MCT), visit www.mctinfoservices.com, e-mail [email protected], or call 866-280-5210 (outside the United States, call +1 312-222-4544)