Icon's share price fell 20% today after it reported that one of its substantial retail customers had received approval from Apple to become an official importer.
Israeli retail chain KSP has been awarded official importer status by Apple. This development has come as a blow to Icon Group (TASE: ICON), which imports Apple products to Israel and has until now been selling them on to KSP.
Icon's share price fell 20% today after it reported that one of its substantial retail customers had received approval from Apple to become an official importer for sales at its own branches. Icon added that the import license would come into effect in the coming months.
Icon, which sells Apple products through its own iDigital chain held an IPO on the TASE in December, in which it raised NIS 150 million at a company valuation of NIS 850 million. Since then the company's market cap has fallen to NIS 650 million.
KSP has 50 outlets around Israel. The company specializes in electronics goods but in recent months has been branching out into a range of other retail goods from perfume and kitchenware to toys.
Published by Globes, Israel business news - en.globes.co.il - on March 13, 2022.
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KSP store Photo: Eyal Izhar