Norwegian central bank Norges Bank has sold over half of its 10.7% stake in Israeli advanced driving assistance systems (ADAS) company Mobileye Global Inc. (Nasdaq: MBLY), according to the latest report on the holdings in the company filed with the US Securities and Exchange Commission (SEC).
At the end of July, Norges Bank held a 5.2% stake in Mobileye, currently worth $78.8 million, compared with a 10.7% stake in mid-April. Taking the average share price of the stock during this period, Norges Bank would have received $142 million for the shares it sold.
Through its investment division, Norges Bank manages the Norwegian wealth fund, which produces returns from the country’s oil profits. According to the bank’s latest figures, it manages assets worth $1.59 trillion and it is known for emphasizing investments based on environmental, social and governance (ESG) principles.
In the past Norges Bank has divested from Israeli companies that operate over the "Green Line," as well as defense technology company Elbit Systems Ltd. (Nasdaq: ESLT; TASE:ESLT), and it recently announced a re-examination of holdings in Israeli companies due to the war in Gaza. However, the fund does not categorically rule out investments in companies related to Israel, and the list of companies in which it held a position at the end of 2023 included many Israeli companies besides Mobileye including Bezeq, Bank Hapoalim, Bank Leumi, Big Shopping Centers, Call Insurance, Camtek, Delek Motors, NICE Systems, Nova, Phoenix, Tower Semiconductor, and the Tel Aviv Stock Exchange (TASE).
Norges Bank was one of the anchor investors in Mobileye’s IPO in December 2022, after committing to investing $330 million together with Baillie Gifford.
Norges Bank’s selling of Mobileye shares would have further depressed the company’s share price in a difficult year for the stock. After losing 51.5% of its value since the start of 2024, and returning to its IPO value in 2022, the share price fell a further 24% on Thursday and Friday, after publishing disappointing financial results and cutting its guidance. Mobileye now has a market cap of $12.87 billion.