FIMI to raise NIS 1.2b seventh fund

Ishay Davidi
Ishay Davidi

The new fund will bring the total raised by FIMI Opportunity Funds to $4.4 billion.

Israeli private equity firm FIMI Opportunity Funds (FIMI), managed by Ishay Davidi, is raising $1.2 billion for its new FIMI 7 fund. FIMI launched the new fund today, three and half years after raising $1.1 billion for its FIMI 6 fund, which was oversubscribed.

FIMI has raised a total of $3.2 billion to date for its funds: half from foreign investors and half from Israelis. Completion of FIMI 7 is slated for December 2020, which will put its new total at $4.4 billion.

FIMI, which began operations in 1996, is Israel's first and largest private equity fund, with $5.5 billion in managed assets. The fund has rated consistently in the top ten of the world's funds in terms of return on investments in a market that manages $5 trillion.

Foreign investors in FIMI's funds include some of the world's largest corporation and investment institutions, such as banks, state funds, insurance companies, pension funds, universities, huge international companies, and some of the world's leading private investors. Israeli investors include banks, insurance companies, investment institutions, universities, and private investors.

FIMI uses the money invested in its funds to invest in Israeli companies and companies related to Israel. Its investments to date have encompassed a broad range of sectors and areas, including most industrial, commercial, and services sectors, and high, medium, and low-technology companies.

FIMI acquires companies and enhances their value. To date, FIMI has acquired control of some 90 companies, 60 of which it has sold in deals amounting to over $5.5 billion.

50 enterprises in Israel, 30,000 employees

FIMI is currently Israel's largest industrial concern, with activity in 50 enterprises in Israel. It is also one of Israel's biggest employers, with 30,000 employees under its control. FIMI also controls 100 enterprises and companies worldwide.

FIMI's current investment portfolio contains a wide variety of companies, such as Hadera Paper, Bet Shemesh Engines, Rivulis Irrigation, Amiad Water Systems, Polyram Group, Ham-Let Advanced Control Technology, Kamada, Galam, Inrom Construction Industries, and G1. FIMI recently signed an agreement to sell its holding in Gilat Satellite Networks to US company Comtech Telecommunications for $193 million (2.5 times FIMI's investment), giving it a $125 million profit on the deal.

The partners in FIMI are founder and CEO Davidi, Gillon Beck, Lilach Asher-Topilsky, Amit Ben-Zvi, Ami Boehm, and Lior Ovsiovich. Davidi said today, "We are continuing to follow the fund's strategy of acquiring companies and upgrading them for the long term, and we intend to continue it in the new fund.

"Three and a half years ago, we completed the sixth fund. We met the targets that we set for ourselves, we made acquisitions and exits, and mainly built strong and sustainable companies. I believe that the great knowledge and experience that the partners in the fund bring to companies will contribute to attaining the goals that we have set - to continue leading the market in Israel and creating value for our investors."

Senior partner Beck said, "We are confident that FIMI's proven experience in finding and managing growth engines and upgrading companies will also provide added value for investors and companies in the seventh fund." Asher-Topilsky, senior partner and former Israel Discount Bank CEO, added, "We regard strengthening Israeli industry and investing in Israeli companies as very important."

Another leading Israeli private equity fund, Fortissimo Capital, led by Yuval Cohen, reported last week that it had finished raising $650 million for its fifth fund.

Published by Globes, Israel business news - en.globes.co.il - on February 9, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Ishay Davidi
Ishay Davidi
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