Leumi Partners shifts to direct stake in Nofar Energy, expecting up to NIS 300 million gain

Leumi Partners, the real-estate and investment arm of Bank Leumi led by Victor Vakrat, said Thursday it has completed a transaction that will move it out of its investment in Yanai Group and into a direct holding in renewable-energy company Nofar Energy. Under the deal, Leumi Partners will become a significant shareholder in Nofar with about 5% of the company, while selling its entire 20% stake in Yanai Group, the holding company controlled by Ofer Yanai that owns Nofar.

The move comes after Nofar Energy’s share price jumped 116% since Leumi Partners entered Yanai Group at the end of November 2025. The surge sharply increased Yanai Group’s asset value and allowed the company to raise new financing from several financial institutions, which will be used to repay early most of the debt Leumi Partners provided in the original transaction, worth NIS 450 million.

According to estimates, the completed shift could create substantial value for Leumi Partners and generate a profit of NIS 250 million to NIS 300 million. That gain is expected to come from converting an indirect holding through a holding company into a direct position in a publicly traded stock, as well as from the early repayment of the original loan. Once the transaction is finished, Ofer Yanai will hold 100% of Yanai Group.

The company said Nofar’s higher valuation made it possible to refinance the debt on better terms than in the original agreement, reduce financing costs, and improve its capital structure. Vakrat said the combination of an investment structure that included both equity and debt and Nofar’s strong rise in value enabled Leumi Partners to create significant value in a very short time. He said the direct investment in Nofar reflects confidence in the company’s growth potential. Yanai said the deal shows the value created at Nofar recently and allows the company to repay Leumi Partners ahead of schedule while continuing its business development from a stronger financial base.