Altshuler Shaham Stock Soars Amid Control Sale Speculation; Energian Reports Higher Profit Despite Revenue Drop
The stock of Altshuler Shaham, an Israeli investment house, surged by 14.58% following reports that controlling shareholders Gilad Altshuler and Kalman Shaham are considering selling their stake in a deal potentially worth one billion shekels. While the sale might seem unexpected after three decades, potential factors include the owners' age, succession plans, or a highly attractive offer. The article questions the timing, noting that Altshuler Shaham has recently experienced significant fund outflows and a substantial decline in its market value, falling from a peak of over 4.5 billion shekels in early 2021 to around 1 billion shekels in March.
In other market news, Israel Canada Hotels announced a capital injection of approximately 80 million shekels from Meitav Gemel and Pensions, which will acquire about 7.2% of the company. This investment, priced at a premium, aims to strengthen the hotel company's capital base as it expands its operations.
Gilat Satellite Networks reported a new order exceeding $32 million from the U.S. Department of Defense for satellite communication systems, to be delivered within the next 12 months. The order includes mobile terminals for rapid connectivity deployment in various operational environments.
Energian concluded the first half of the year with a 45% increase in net profit to $160 million, despite an 8% drop in revenues to $743 million, largely due to the extended shutdown of the Karish field. The company also announced a new gas supply agreement for the Sorek power station, valued at approximately $1.4 billion in total revenue. The profit increase was significantly influenced by a lower effective tax rate, particularly due to the recognition of deferred tax assets in Italy.
In a separate development, Elron Ventures' control saga continues as disagreements among partners in the controlling Arieli group delay the finalization of a debt settlement with Phoenix. The loan, taken by Arieli to acquire Elron, is secured by Elron shares, making a sharp stock decline a potential issue for all shareholders.
Other notable market movements included Tower Semiconductor's stock rising 8.2%, and a mixed closing for the TA-35 index. The article also touches on a failed deal for control of Jango, where minority shareholders blocked the acquisition by controlling shareholder Ofir Haravest. The market also saw updates on Sol-Rum's production expansion, Mitzlavi's urban renewal project, Discount Capital's investment in Natan, and Nofer Energy's progress towards an IPO of its Israeli operations.
