Elbit Medical Imaging: Wrong Image!

Though Elbit Medical Imaging (EMITF) does sell some imaging equipment, the main thrust is in real estate ever since the General Electric (GE) deals. As depicted from the F-20, hotels and shopping centers reflect the business model.

We all know that real estate is a dirty word these days, but still, to maintain the name 'medical imaging' when you build and manage shopping centers is a bit confusing. It's time to change the image.

Though we have access to the necessary published information, there is no evaluation line for EMITF. The primary reason is stated in the F-20.

C. ORGANIZATIONAL STRUCTURE

EMI is a subsidiary of Europe-Israel (M.M.S.) Ltd. (approximately 49.42% shareholder). Europe Israel is wholly owned by Control Centers Ltd., a privately held Israeli company, which is controlled by Mr. Mordechay Zisser, who serves as EMI’s Executive Chairman of the Board. EMI’s significant subsidiaries and companies in which EMI has a significant interest as of December 31, 2006 are as follows:

See the F-20 for the list. With the number of subsidiaries that are in turn subsidiaries and so on and so forth, anything can happen. Zisser can decide to increase or decrease net earnings at Elscint, BEA, SLS, EUBV, InSightec, PC and Mango practically at will. Money (including investments and capital) and agreements within the subsidiary family are fungible.

Perhaps after weeding through the maze, one does need medical imaging after all or at the very least, an aspirin or two.

Disclosure: No conflicts