Civil Case 14206-07-17, 11652-07-17
Tel Aviv, December 5, 2018. Delek Group (TASE: DLEKG, US ADR: DGRLY) (“the Company”) announces that further to the Company's Immediate Report dated July 26, 2018 (ref. no. 2018-01-069699) the Company announces that on December 26, 2018 a ruling was received from the Tel-Aviv-Jaffa District Court concerning approval of the compromise in this case, without the appointment of an examiner and without a hearing. As stated, the compromise agreement was brought for approval to the Tel-Aviv-Jaffa District Court on July 11, 2018. In accordance with the Class Actions Law, 2006, the date for filing of objections to the compromise agreement has long passed and no objections were filed, and accordingly the court decided to approve the compromise agreement.
Under this compromise agreement, the represented claimants who are entitled to compensation will be those who held shares of Delek Energy Systems Ltd on May 31, 2011. The compensation for each share is NIS 22.8 and total compensation for all members of the group is NIS 23 million. The overall amount of compensation including payment to the leader of the class action and its legal counsel will be NIS 31 million; in return for this payment all proceedings related to the claim and all reasons for the claim arising from it will end and definitively cease. As stated, with approval of the agreement that gave it the standing of a court ruling, a final and binding res judicata will be formulated that prevents raising any claim by the claimant and members of the group against the defendants (the Company, Chairman of the Board and CEO of the Company), officers of the Company or of Delek Energy Systems Ltd and their insureds, in respect of any claim mentioned in the proceedings and any subject or matter related to it.
It should be noted that most of the compromise amount will be paid by the insurance company that issued the directors’ and officers’ insurance policy for the Company, while the balance will be paid by the Company.
This is a convenience translation of the original HEBREW immediate report issued to the Tel Aviv Stock Exchange by the Company on December 5, 2018.
Delek Group is an independent E&P and the pioneering visionary behind the development of the East Med. With major finds in the Levant Basin, including the Leviathan (21.4 TCF) and Tamar (11.2 TCF) reservoirs and others, Delek is leading the region’s development into a major natural gas export hub. In addition, Delek has embarked on an international expansion with a focus on high-potential opportunities in the North Sea and North America. Delek Group is one of Israel’s largest and most prominent companies with a consistent track record of growth. Its shares are traded on the Tel Aviv Stock Exchange (TASE:DLEKG) and are part of the TA 35 Index.
For more information on Delek Group please visit www.delek-group.com