A month after completing its merger with the shell company Cepia Vision and becoming a public company, Tomer Food has raised NIS 14.7 million in a private placement of shares to hedge funds and other qualified investors. The company is controlled by 70.99% and run by Doron Kimelov, and it said the capital will support expansion plans, including possible acquisitions and other synergistic moves to strengthen its position in the food sector.
Investors in the round included Idea VC Israel, Hillulim Assets, Sphera Long, ANC Israel, Agility Hedge Funds, and Hatzavim. The deal included 12.05 million shares at NIS 1.22 each, plus 8.4 million warrants issued for no consideration.
The shares will represent about 14.2% of the company’s issued and paid-in share capital and voting rights, or 12.75% on a fully diluted basis, subject to issuance. Together with shares that could be issued upon exercise of the warrants, the securities would represent 21.92% of the company’s shares, or 21.68% on a fully diluted basis. The warrants can be exercised for three and a half years at NIS 1.95 per share, which could add about NIS 16.4 million if fully exercised.
The stock closed at NIS 1.62 the day before the financing, meaning the placement price was 24.88% below market. The shares, along with any shares from warrant exercise, will be locked up for six months, after which each allottee may sell up to 1% of Tomer’s share capital per quarter for six more quarters.
The board said the fundraise is necessary to strengthen the balance sheet and financial stability. Kimelov said Tomer grew organically at an average annual rate of about 19% from 2021 to 2025, expanded its product range and nationwide distribution, and built a large new logistics center. He said the company sees significant opportunities in chilled and fresh foods, as well as continued growth in dry and frozen categories.
