Investment and real estate business Africa Israel has finally sold its 50% stake in swimwear firm Gottex.

The company, which runs Zara and Pull and Bear franchises in Israel, will receive around ILS166m (US$42.3m) from the Gottex transaction.

Africa Israel, which is mainly involved in the real estate, construction, and energy industries, in January said it was in talks with a still unnamed buyer for 50% of Gottex.

The company has been forced to sell its assets in order to meet debt payments of ILS20bn.

According to local news reports, the buyers are a group of investors headed up by Africa Israel's Canadian partners in Gottex.