Real estate company Azrieli Group (TASE: AZRG) reported this morning (Tuesday) that power grid connections for data centers in Norway, where the company is active, had been frozen. Although Azrieli stated that this move was not expected to affect its operations adversely, investors sent the stock lower at the start of today’s session.
Azrieli’s announcement follows a decision by Norway’s national power transmission system operator to freeze temporarily the allocation of new grid capacity for data centers. The operator has suspended the processing of applications for direct grid connections for such facilities. The Norwegian regulator has set a timeframe of less than a year (until August 2027) to formulate a regulatory framework on the matter.
Concurrently, the Norwegian government has announced that it will develop new licensing rules for the sector. These could impact Azrieli Group, which wholly owns Green Mountain Global Data Centers, an operator of data centers in Norway, the UK, and Germany. The Norwegian operator’s announcement is not expected to have a material impact on the company's existing, revenue-generating projects in this field.
The subsidiary, managed by Eyal Henkin, operates four data centers in Norway, with a total installed capacity of 174 megawatts. The offices and shopping malls giant acquired the business in 2021 for NIS 2.8 billion.
In the first half of this year, Azrieli Group’s data centers segment (the majority of which is based in Norway) generated revenue of NIS 445 million, 5% more than in same period last year. The subsidiary reported net operating income of NIS 213 million, 4% less than in the first half of 2025.
Concerns over delays
Late last year, Green Mountain signed an agreement with an international technology company to establish an 80-megawatt data center at a new campus in Norway. The project is contingent upon obtaining various permits, licenses, and approvals, including those related to power supply and grid connectivity. Today’s announcement could delay the initiative, but as mentioned Azrieli explicitly ruled this out in its statement.
Azrieli Group’s share price has fallen by about 7% since the start of the week, despite general gains in the local market. Over the past year, the share price has fallen by about 5%, and the company has a current market cap of NIS 40 billion.
Published by Globes, Israel business news - en.globes.co.il - on November 10, 2026.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2026.