Retalix Ltd. (NASDAQ: RTLX) and Discount Investment Corporation Group (TASE: DISI), today announced the signing of a memorandum of understanding to merge Tradanet Electronic Commerce Services, of the DIC group, with StoreAlliance Israel, of the Retalix group.  StoreAlliance Israel provides information and application services to independent food retailers and suppliers in Israel via the Internet.

Under the agreement, StoreAlliance Israel will acquire all of Tradanet’s shares from DIC and issue DIC with shares of StoreAlliance Israel.  After the completion of the merger, StoreAlliance Israel will be jointly owned by Retalix Ltd., the DIC group and the Central Bottling Company Ltd. (Coca-Cola Israel), with Retalix as the majority shareholder.  Coca-Cola Israel recently invested $5 million in StoreAlliance.

Tradanet Ltd. provides electronic messaging and EDI services to 150 of Israel’s leading food suppliers and large supermarket chains.  StoreAlliance Israel is an Application Services Provider (ASP) serving these same suppliers and hundreds of retailers in the independent sector.  The merger between the two will enable the integration of Tradanet’s technological infrastructure in the tier-one food retail sector with StoreAlliance’s online application services for the independent sector.  By establishing a direct connection between independent retailers and their suppliers, the merger will enable independent retailers to engage in online ordering and receiving.

“This merger combines the strengths of the two market-leading systems, one focusing on the tier-one retail market and the other, the independent retail market,” said Jacob Laskow, vice president of DIC group and chairman of Tradanet. “The combination of an expert software developer, a major investment house and one of Israel’s largest distribution companies will benefit our existing customers.”

Barry Shaked, CEO and chairman of Retalix Ltd., said that the merger of Tradanet and

StoreAlliance is another step towards building the winning team required for a successful B2B marketplace.  Shaked said, “Several e-marketplaces may be established, but eventually we believe only one will remain.  Selecting the right strategic partners and creating a sound infrastructure and application set are the key to success.  With this mix of players in place, I believe a strategic partner from the financial sector will join us in the near future.”
Assaf Gadish, CEO of StoreAlliance Israel, said, “The merger of Tradanet and StoreAlliance is an important step in the emerging Israeli B2B industry.  This will further strengthen StoreAlliance’s position as the preeminent electronic marketplace in the Israeli food retail industry.  StoreAlliance and Tradanet have already proven their ability to create a user base in both the independent and the enterprise retail markets, and this alliance will allow us to demonstrate to the food retail market as a whole our vision of a future centered on e-commerce and e-collaboration.”

About StoreAlliance Israel Ltd.
StoreAlliance Israel  (, a subsidiary of Retalix Ltd. (formerly known as Point of Sale Ltd.), was established in 1999 to provide information and application management services to food retailers and suppliers in Israel via the Internet. To date, more than 400 grocers and independent supermarkets have joined the StoreAlliance retailer community and enjoy a variety of centrally hosted services. In the US, Retalix is also establishing an ASP/e-Marketplace for the grocery industry through its initiative. In the convenience store market sector in North America, Retalix has partnered with i2 Technologies (NASDAQ: ITWO) and the National Association of Convenience Stores (NACS) to establish C-StoreMatrix.

About Tradanet Electronic Commerce Services Ltd.
Tradanet provides B2B electronic commerce services, including business documents messaging, such as orders, deliveries, receipts, returns, inventory reports etc., and builds business extranets for e-collaboration between businesses. 150 of Israel’s leading companies use Tradanet’s e-commerce system to send and receive electronic messages, including major retailers such as Super-Sol, Blue Square and Office Depot, as well as large and medium food and non-food suppliers, including Tnuva Dairy, Elite Foods, Strauss, Ossem-Nestle, CPC-Bestfood, Coca-Cola Israel, Tempo and others.

About Retalix Ltd
Retalix Ltd., with headquarters in Israel, provides integrated enterprise-wide software solutions for the retail food industry worldwide, including supermarkets, convenience stores and restaurants.  The Company offers a full suite of software applications that support a food retailer’s essential retailing operations and enable retailers to increase their operating efficiencies while improving customer acquisition, retention and profitability.   Recently, the Company expanded its product line by offering its head and back-office applications via the Internet to small chains and single store food retailers. With installations in more than 15,000 stores and quick service restaurants across 41 countries, the Company markets its software solutions through direct sales, distributors, local dealers and through its U.S. subsidiary, Retalix USA, Inc., and its various other subsidiaries.  The Company was founded in 1982 as Point of Sale Limited and changed its name in November of 2000 to Retalix Ltd.  The Company’s Ordinary Shares have been publicly traded on the Tel Aviv Stock Exchange since November 1994 and on the NASDAQ National Market System since July 1998. For further information, please visit the Company’s web sites at, or