This excerpt taken from the BPHX 6-K filed Jun 18, 2007.
INVESTORS ENTER INTO AGREEMENT TO PURCHASE FORMULA
Transaction Involves 8,038,526 BluePhoenix Shares
Herzliya, Israel June 15, 2007 BluePhoenix Solutions Ltd. (NASDAQ: BPHX), the leader in value driven legacy modernization, today announced that it has been informed by its major shareholder, Formula Systems (1985) Ltd., that Formula entered into an agreement to sell 8,038,526 ordinary shares of BluePhoenix to international institutional investors, representing approximately 46% of the outstanding share capital of BluePhoenix.
Upon consummation of this transaction, Formula will no longer own any ordinary shares of BluePhoenix. Some or all of Formulas director designees will resign from BluePhoenixs board of directors shortly following the completion of the transaction.
The completion of the purchase of the ordinary shares is expected to take place on June 18, 2007 and is subject to customary closing conditions.
BluePhoenixs solutions serve companies from diverse industries and vertical markets such as automotive, banking and financial services, insurance, manufacturing and retail. Among its prestigious customers are: Aflac, DaimlerChrysler, Danish Commerce and Companies Agency, Europe Assistance, Lawson Products, Los Angeles County Employees Retirement Association, Merrill Lynch, SDC Udvikling and TEMENOS. BluePhoenix has 13 offices in the U.S., UK, Denmark, Germany, Italy, Romania, Russia, Cyprus and Israel.
SAFE HARBOR: Certain statements contained in this release may be deemed forward-looking statements, with respect to plans, projections, or future performance of the Company, the occurrence of which involves certain risks and uncertainties that could cause actual plans to differ materially from these statements. These risks and uncertainties include but are not limited to: market demand for the Companys tools, successful implementation of the Companys tools, competitive factors, the ability to manage the Companys growth, the ability to recruit and retrain additional software personnel, and the ability to develop new business lines. This press release is also available at www.bphx.com. All names and trademarks are their owners property.