Israel's The Phoenix Holdings Ltd. (TASE:PHOE) is in advanced discussions to divest a 25% stake in its subsidiary, Phoenix Insurance Agencies, Globes reported. A potential transaction could value the insurance network at between $900 million and $1 billion. The current negotiations are claimed to not involve Jared Kushner's Affinity Fund, which had previously shown interest before talks were suspended last year.

Saudi-backed Affinity Fund planned to purchase a share in Phoenix Insurance Agencies, but discussions were halted when the Israeli-Palestinian conflict broke out in October last year. The potential deal, now back on the group's agenda, comes after previous reports in August suggested a higher valuation of up to $1.2 billion. However, despite the slight decrease in expected valuation, the sale is progressing, with two foreign investors in the running.

One of these investors is at a very advanced stage of negotiation, Globes reported, citing a source close to the matter. While the identity of the foreign investors has not been disclosed, it is known that they are not from the previously interested parties, which included US-based Blackstone and Reverence Capital Partners, and Searchlight, UK's Pollen Street Capital and Europe's Vitruvian Partners. Phoenix Group has engaged Jefferies Group, an investment bank, to facilitate the search for potential investors.