Altshuler Shaham Provident Funds and Pension yesterday completed the auction for institutions in its IPO through an off for sale. Demand totaled nearly NIS 1 billion. The proceeding ended with a value of over NIS billion for the long-term savings company, far above the minimum of NIS 900 million set for the offering, sources inform "Globes."
The shareholders in the company will raise NIS 283 million at a company value of NIS 1.1 billion by selling 25% of its shares. The share price in the auction for institutions was set at NIS 5.90, 25% higher than the minimum price set for the share in the auction and reflecting an effective NIS 1.13 billion company value. The public section of the auction is scheduled later this week. When the offer for sale is completed, Yair Levinstein will hold 14.4% of the company, Altshuler Shaham Ltd. (held by Kalman Shaham, Gilad Altshuler, and Roni Bar) will hold 60.6%, and the public will hold 25%.
The company said, "Demand from investment institutions in the first offering in Israel by Altshuler Shaham Provident Funds and Pension in Israel was lively. The company's shares will enter a fast track to the leading Tel Aviv Stock Exchange indices."
Altshuler Shaham Provident Funds and Pension is one of the four pension concerns selected by the state as a default option for the public. It was a very successful provident and study fund company that is now also growing in the pension sphere, where it is still a secondary player. The IPO is the second on the Tel Aviv Stock Exchange (TASE) by a financial entity this year, following credit card company Isracard's IPO in April. The company has been growing for years in assets and number of customers, thanks to its outstanding returns. This success extends to the company's profits; it distributed NIS 153 million in dividends in the past three year, most of which was just before the IPO. Before the IPO, Altshuler Shaham Provident Funds and Pension set a policy of distributing 75% of its profits as dividends.
The IPO was led by the Rosario Capital and Leumi Partners underwriting firms, with help from Poalim IBI, Leader Underwriting, Menorah Underwriters, and Epsilon. Advice was provided by Adv. Ilanit Landsman from the Herzog, Fox, Neeman & Co. accounting firm and Shai Bazak, CPA, from the EY accounting firm.
Published by Globes, Israel business news - en.globes.co.il - on July 16, 2019
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