Tesnet, of the Tel Aviv Stock Exchange-listed Amanet group, will raise NIS 38-41 million on the TASE next Sunday. Leader will manage the flotation. Tesnet is considered Israel's leading company in automated software testing. The company provides software quality control tests, including development process control, verification of system compliance with user requirements, and various software tests (functionality, loads, regression, etc).
Readers may already be familiar Tesnet, even though it is not yet a listed company. The fact that Tesnet's controlling shareholder is a listed company is not the only reason. Tesnet's issue has been on the agenda for over a year now, and the company has already made pretentious statements on issuing in Europe at a $100 value.
Tesnet general manager Gidi Kimchi, who now has no choice but to issue at NIS 200 million, after money, would not backtrack from his previous statements. "A German bank offered to lead a $35 million issue for us at a company value of $100 million after money, but it insisted on holding the issue only in Q4 2000, for reasons having to do with company size," Kimchi said today. ""In the meantime, we were approached by local underwriters, who offered an immediate issue, and we preferred this option".
Published by Israel's Business Arena on 24 February, 2000