Millennium Food-Tech raises NIS 26m in TASE IPO

Guy Rosen / Photo: Shlomi Harel
Guy Rosen / Photo: Shlomi Harel

The company, which becomes the first R&D partnership on the market, saw its share offering more than 100% oversubscribed.

Millennium Food-Tech (formerly NextFood), the first R&D Partnership on the TASE, has completed its IPO with more than 100% oversubscription. Millennium Food-Tech raised NIS 26 million, with overall orders for about NIS 41 million for NIS 20 million worth of shares on sale to the public. The offering was managed by Leumi Partners Underwriters.

The tranches in the tender were offered to the public at a minimum price of NIS 1,000 and set in the tender at the price of NIS 1,050. The mix of investors included strategic and institutional investors as well as individual investors from the public.

Leumi Partners Underwriters CEO Eliav Bar David said, "The successful offering of the Millennium Food-Tech Partnership paves the way for a wave of new offerings. This is the first budding of investor partnerships in R&D companies that is expected to blossom on the TASE over the next year. The large demand indicates a hunger by institutional and private investors for exposure to new investments with high-growth potential. In my opinion, this is only the start of this trend."

Millennium Food-Tech CEO Hanan Schneider said, "Despite this challenging period, the offering and the demand demonstrate that the Israeli public believes that food-tech is a sector of the future, and that the change in consumption habits by the public is near. I am delighted that institutional bodies also took part in the offering, despite its size. The mix of investors included strategic investors, institutional bodies and individual investors from the public. I believe that through Israeli food-tech we will bring about a positive change in consumption by the public at large that will also benefit the shareholders."

The offering was supported by Advs. Itay Brafman and Adi Ron of the Dr. Zeev Holender Law Offices & Notary.

Millennium Food-Tech will be the first R&D partnership to be traded on the Israeli stock market, following an amendment to the TASE regulations in February last year, which allowed offerings by limited partnerships engaged in R&D.

Millennium Food-Tech CEO Chanan Schneider who serves as CEO previously founded and managed the Food-Tech incubator in Kiryat Shmona. Guy Rosen serves as Chairman. He is Vice Chairman of Tnuva.

The partnership's first portfolio company is SavorEat, which develops technology for producing plant-based alternative meat using 3D printing. The partnership will invest $1.75 million with an option to increase the investment and it will lead a $3.75 million investment in the company at a company value of $7 million.

Published by Globes, Israel business news - en.globes.co.il - on July 16, 2020

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

Guy Rosen / Photo: Shlomi Harel
Guy Rosen / Photo: Shlomi Harel
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