IBI’s deal with Hellman Aldubi: shares at NIS 450,000 and 120% return


At the beginning of July, IBI Investment House and its owners purchased shares in investment house Hellman Aldubi (of which IBI is one of the stakeholders) for NIS 449,000, and at a price of NIS 2.65 per share. These transactions, according to a survey by “Globes”, yielded the IBI a cumulative profit of about NIS 550,000 “on paper” in less than a month – a nice return of more than 120%. It should be noted that IBI has two representatives on the board of directors of Hellman Aldubi.

A few weeks after the deals were made, on July 22, Altshuler Shaham Gamel surprisingly announced that it had submitted a takeover bid for all shares in the Hellman Aldubi investment house, at a value that was 117% higher than the investment house’s prior to the publication of the offer. Of the Hellman Aldubi stock in the market.

Purchases of Helman Aldubi shares

A few days later, Hellman Aldubi published a report to the stock exchange, according to which the company’s board of directors appointed an independent committee authorized to examine Altshuler Shaham Gamel’s offer and another offer, which was only then revealed, “which was received from a foreign financial entity. According to a company value ranging from NIS 232 million to NIS 323 million, “Hellman Aldubi reported in that day.

IBI Investment House currently holds 33.4% of Hellman Aldubi’s shares. In other words, Hellman Aldubi, which is currently traded at a value of about NIS 200 million, is a non-negligible holding for IBI, which itself is currently traded at a company value of about NIS 380 million.

Shareholders in Hellman Aldubi Shareholders in Hellman Aldubi

The purchase offer from Altshuler Shaham Gamel has re-flooded a conflict that has been raging for months between minority shareholders in the Hellman Aldubi investment house, led by Eran Meital and Hanan Asaig, who want to realize their holding in the company and respond positively to one of the takeover bids. 1995 by Chairman Uri Aldubi and his partner Roni Hellman.

According to market estimates, both IBI and one of the members of the controlling group in Hellman Aldubi are interested in accepting a takeover bid. The confrontation between the parties became public in late 2019, when it became known that the Phoenix Insurance Group was interested in acquiring Hellman Aldubi Gamel, which is the main activity of the Hellman Aldubi investment house. It was also reported for the first time, in the press only, that the British fund was interested in acquiring control of Hellman Aldubi.

Altshuler Shaham Gamel’s proposal was published only on July 22, when Altshuler Shaham Gamel today refused to address the questions we addressed on the subject, stating: “We do not address business negotiations and there is nothing to confirm or deny.”

We will further emphasize that estimates that there is a foreign entity that allegedly expressed interest in investing in Hellman Aldubi have been known since the end of 2019, when it was published in the media. However, the company itself did not respond to this in an official report.

IBI’s response: “The acquisitions in question were made as part of IBI’s policy to take advantage of the low price environment in the markets to increase its holdings in the Group companies. The acquisitions were made immediately after the publication of the first quarter results reported to the public, with full disclosure in immediate reports. In Hellman Aldubi’s reports, the information regarding the takeover bids reached the company only last week, and after the acquisitions, and any allegation of misuse of information is defamatory. It should be emphasized that IBI Investment House has been operating in the capital market since 1971. Hellman Aldubi has directors “He has decades of experience in the capital market. We know the law for its meanings and it would not occur to us to take any action that could deviate from it in any way.”


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