Leviev’s Ruis Denies Sale of Moscow Jewelry Factory
December 06, 09
Lev Leviev's Ruis Group denied on Friday any plans to sell The Moscow Jewelry Factory in order to pay back loans to four Israeli banks, according to Reuters. Reports about the alleged sale surfaced after a court hearing last week revealed that Leviev’s privately held company, Memorand, had considered selling off the Moscow Jewelry Factory to repay some of Africa Israel’s debt.
 A Moscow Jewelry Factory store |
“Lev Leviev is not selling a factory and is not preparing to do so,” said a spokesperson for the Ruis Group. Ruis owns and operates diamond polishing, jewelry manufacturing and retail operations in
According to reports in the Israeli press last week, Leviev’s agreement with the banks revealed that his privately held company Memorand will sale the Moscow Jewelry Factory to repay some of Africa Israel’s debt.
The jewelry factory could command a price of $200 million, the agreement says.
The Moscow Jewelry Factory polishes diamonds and offers loose diamonds as well as jewelry to consumers. According to documents on its website, the firm is part of the Ruiz Group of Companies and the Leviev Group.
Seventy percent of what Leviev would get from selling the diamond company would immediately go to four Israeli banks - Leumi, Mizrahi-Tefahot, Discount and Beinleumi, according to a report in the Israeli daily Ha’aretz.
Africa Israel failed to pay NIS 557 million ($147.37 million) to bondholders in November. It recorded a NIS 348 million ($92 million) loss in its third quarter. In late October, the diamond tycoon agreed to infuse $200 million into Africa-Israel.