Aviv Family Drops Share Offering, Plans NIS 200 Million Bond Raise

Aviv Group is canceling its planned share offering and will focus instead on debt financing, according to an updated prospectus it filed with investors. The company had been expected to price the offering at an implied valuation of about NIS 1.5 billion, but reports indicate it was unwilling to compromise on that valuation, prompting the withdrawal. In its place, Aviv plans to raise NIS 200 million through bonds.

Founded in 1963, Aviv Group operates in real estate development and income-producing property. It holds income-generating assets worth about NIS 1 billion, and its equity-to-balance-sheet ratio stands at 58%, a relatively high level for the sector that points to moderate leverage.

For 2025, the company reported net profit of NIS 39 million, up 22% from NIS 32 million in 2024. Revenue was NIS 45 million, roughly unchanged from the previous year.

The cancellation is the first share offering to be withdrawn this year, following a wave of flotations on the local capital market that included the construction companies Tidhar and Bast, the defense companies Bagira and Smart Shooter, and Gellam. In recent weeks, some institutional investors have criticized the valuations used in these deals. One institutional investment manager told Calcalist that underwriters had “maximized the valuation” for the companies and that many listings came at full or even high valuations. Another added that, unlike in the United States, Israeli IPOs in the current wave have left too little upside for investors on day one, with much of the value remaining with the selling shareholders.