Israeli Officials Postpone Sothebys Auction

A controversial auction held by Sotheby’s London was set to take place on Tuesday before being abruptly postponed at the last minute.

Set to cross the auction block were artefacts from Jerusalem’s Museum for Islamic Art. Items of note included a helmet that may have belonged to an Ottoman sultan, a page from nearly 1000-year-old Qur’an and a 13th century Mamluk glass bowl.

Facing financial hardship, the museum had planned to sell more than 200 items, amounting to a possible $13.7 million before the advent of COVID-19, and with the pandemic sweeping through – the auction became essential to avoid closing its doors for good.

However, Israeli officials and government agencies alongside the president of Israel Reuven Rivlin weighed in hoping to stop the sale, with Rivlin stating the collection had a “greater worth and significance than their monetary value.”

An early Iznik blue and white calligraphic pottery hanging ornament, Turkey, circa 1480. Credit: Sotheby’s.

It seemed to work, as on Monday night the museum announced in a statement from its primary donor that the sale would be postponed, reportedly until some time in November.

“The foundation’s management hopes that the postponement will make it possible to reach agreements that will also be acceptable to the Culture Ministry in the coming weeks,” the Hermann de Stern Foundation said.

A Sotheby’s spokesperson mentioned that it had conducted multiple deaccessions whereby museums or art galleries sell items to raise funds and added that the guiding principle behind the selection from the Museum for Islamic Art was to ensure the integrity of its collection, which holds over a thousand items.

Australia’s Treasury Wine Estates admitted defeat in its effort to divest brands including Wolf Blass and Blossom Hill, moderating its annual earnings guidance amid weaker sales of its cheaper products.

Last year, Treasury outlined plans to offload its so-called commercial portfolio in a pivot toward costlier, higher-margin brands. As part of the move, it bought California’s Frank Family Vineyards in 2021 and Daou Vineyards in 2023 in deals worth US$1.31 billion combined.

On Thursday, Treasury told investors that it had failed to find a buyer for its budget brands.

“TWE has concluded that the offers received for these brands did not represent compelling value and therefore their retention is the best course of action,” Treasury said.

The company, which is best known for its prestigious Penfolds brand, said that demand for brands typically retailing for less than US$19 a bottle had fallen by 4.9% in the December-half. That includes the commercial portfolio, which comprises the company’s cheapest offerings.

As a result, Treasury expects so-called Ebits—earnings before interest, tax and other impacts including one-off items—for the full fiscal year of 780 million Australian dollars, or about US$489.8 million. That’s at the bottom end of its previously issued A$780 million-A$810 million guidance range.

Even so, Treasury on Thursday reported a A$220.9 million net profit for its fiscal first half, up 33% on year as the company continued to re-establish its Penfolds brand in China following that country’s removal of tariffs on Australian wine.

Revenue rose by 20% to A$1.57 billion, while profit increased 33% to A$239.6 million once material items and currency moves were stripped out.

The average analyst forecast had been for a net profit of A$242.1 million from revenue of A$1.57 billion, according to data compiled by Visible Alpha. Treasury reported first-half Ebits of A$391.4 million.

The board declared a dividend of 20 Australian cents a share, up from 17 cents a year earlier.

Israeli Officials Postpone Sothebys Auction

Sotheby’s in London’s sale of more than 200 items postponed.

The company is best known for its prestigious Penfolds brand