Dudu Azra Group Buys Stop Market Chain for $165 Million
Translated & summarized from Kipa by baba
The Dudu Azra Group is acquiring the Stop Market supermarket chain for NIS 600 million. The deal will consolidate 22 branches under the Dudu Azra Group, significantly expanding its market presence and revenue.
The story in 5 lines · by baba
- Dudu Azra Group buys Stop Market for NIS 600 million.
- Deal creates 22-branch chain with NIS 1.5 billion revenue.
- Stop Market has NIS 880 million annual revenue and no debt.
- Acquisition financed by Bank Hapoalim loan.
- Stop Market founded 26 years ago by Yossi Meshiah.
The Dudu Azra Group, owner of the Shook HaHerzel supermarket chain, is acquiring Stop Market in a NIS 600 million (approximately $165 million) deal. Following the transaction's completion, the group will operate 22 branches, generating combined annual revenues of around NIS 1.5 billion (approximately $410 million).
For the Meshiah family, who founded and owned Stop Market, the sale represents a significant exit, yielding a net profit of NIS 40 million (approximately $11 million). Stop Market itself reports annual revenues of approximately NIS 880 million (approximately $240 million), with an annual EBITDA of NIS 60 million (approximately $16.5 million) and a net profit of NIS 40 million.
The Stop Market chain employs about 250 workers, records annual sales of roughly NIS 43,000 per square meter, and boasts approximately 270,000 club members. The chain has no financial debt.
Stop Market operates seven days a week, from morning until late night, featuring relatively large branches with a focus on premium products. The chain was established approximately 26 years ago by Yossi Meshiah, a resident of Yokneam.
Negotiations for the sale were first reported in March, and the deal was finalized this week with the signing. To finance the acquisition, the Dudu Azra Group will receive close to NIS 500 million (approximately $137 million) in financing from Bank Hapoalim. However, Bank Hapoalim's investment arm, Poalim Equity, will not become a shareholder as part of this deal.
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