Photo Credit: Yonatan Sindel / Flash 90
TEVA Pharmaceutical Industries headquarters in Jerusalem

Teva Pharmaceutical Industries has signed a $30 million deal to sell one of its former Israeli factories and its land rights to Israel-based Hiron Trade Investment and Industrial Buildings Ltd.

The document listing the sale price (NIS 109 plus value-added tax) was submitted to the Tel Aviv Stock Exchange (TASE) by the buyer last Thursday.

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The facility housed Teva Medical in the port city of Ashdod; it was closed following the company’s December 2017 announcement of its reorganization plan to slash a debt that had climbed to more than $30 billion. Teva said it intended to cut 25 percent of its global work force – including those in Israel – and close down numerous facilities in its attempt to get its finances back under control.

The property purchased by Hiron spans a total of 35,420 square meters, of which 14,366 are already built.

As part of the deal, Hiron will lease 2,000 square meters to Teva for three years at a rate of NIS 130,000 (approx. $35,700) per month.

Hiron has already paid 30 percent of the agreed-upon sum to Teva, with the rest to be paid by January 1, 2020, on the day Hiron takes possession of the property.

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