Israeli food-tech R&D partnership Millennium Food (TASE: MIFT) has announced that it is preparing for a secondary offering of NIS 16 million only three weeks after its TASE IPO. The secondary offering will be led by financial institutions and food sector investors.
The partnership units will be offered at a price of NIS 1.41 per unit, and the warranties will be given for selling at an exercise price of NIS 1.65 per warranty. Millennium held its IPO on the TASE three weeks ago and raised NIS 26 million at a price of NIS 1.05 per partnership unit. Millennium's partnership units are currently traded at a price of NIS 1.53, which reflects a market cap of NIS 39 million for the partnership and a rise of nearly 40% since the IPO. The partnership units rose 7.75% today.
The public offering and the private offering were led by Leumi Partners Underwriters. The offering was supported by Advs. Itay Brafman and Adi Ron of the Dr. Zeev Hollender Law Offices.
The offering is being conducted and led by Mor Investment House, which will invest about NIS 2.5 million through its provident fund and Leumi Partners will invest a similar amount.
Public offerings in R&D partnerships only began this year after an amendment of the TASE regulations in February 2019, which allows offerings of limited partnerships engaged in R&D. Prior to that amendment, the TASE only allowed partnerships to operate in the oil and gas exploration sector and the movie production sector. Millennium is the first partnership unit of this kind that has held a public offering to date.
Millennium Food-Tech is managed by Chanan Schneider who serves as CEO. Schneider founded and managed until recently the Food-Tech incubator in Kiryat Shmona. Tnuva vice chairman Guy Rosen serves as Millennium Food's chairman. Millennium has already made one so far successful investment. The partnersahip invested, about the time of its IPO, $1.75 million in SavorEat at a company valuation of $7 million, 'before money.' Two weeks after raising funds from the Millennium Fund, SavorEat raised $3 million from the Mor and Meitav DS investment houses in two stages. The first stage was conducted at a valuation of $13 million 'before money,' and the second stage - which depends on meeting milestones - will be conducted at a valuation of $35 million 'before money.' SavorEat has developed unique technology for manufacturing meat alternatives, which combine plant based ingredients from an innovative formula, with a 3D printing robot, and advanced cooking methods.
Published by Globes, Israel business news - en.globes.co.il - on August 16, 2020 © Copyright of Globes Publisher Itonut (1983) Ltd. 2020