WeSure GlobalTech Acquires Control of Altshuler Shaham for $1 Billion
Translated & summarized from Ice by baba
WeSure GlobalTech is acquiring a controlling stake in Altshuler Shaham Finances for approximately 1 billion shekels, expanding its financial market presence. The deal involves WeSure investing 820 million shekels for 45% ownership, while CEO Yair Levinstein invests 180 million shekels for 25%.
The story in 5 lines · by baba
- WeSure GlobalTech to acquire control of Altshuler Shaham Finances for $1 billion.
- WeSure invests $225 million for 45% stake; CEO Levinstein invests $50 million for 25%.
- Deal aims to make Altshuler Shaham Finances WeSure's financial arm.
- Sale follows regulatory issues and failed merger attempts.
- Acquisition positions WeSure as a major player in Israel's capital market.
WeSure GlobalTech, an insurance company controlled by Emil Vinshal and Zvi Barak, is significantly expanding its presence in the Israeli financial market by acquiring a controlling stake in the pension and provident fund company, Altshuler Shaham Finances. The deal, valued at approximately 1 billion shekels (about $275 million), is expected to be finalized before the Yom Kippur holiday, with the final agreement anticipated by the end of this week.
Under the terms of the agreement, WeSure will invest around 820 million shekels for a 45% stake in the company. Yair Levinstein, the CEO of the provident fund company, will invest 180 million shekels, increasing his share to 25%. This move is set to establish Altshuler Shaham Finances as WeSure's financial arm, operating alongside the group's insurance arm, Ayalon Insurance.
The decision to sell the pension and provident fund operations, which currently manage approximately 112 billion shekels (about $30.8 billion), stems from regulatory and structural difficulties in realizing synergies with Altshuler Shaham's private parent company. Following unsuccessful merger attempts last year, the option of a sale was chosen, with Levinstein opting to remain and increase his involvement.
For the WeSure group and its leader Vinshal, this acquisition represents a business opportunity to capitalize on the undervalued brand, which has experienced significant withdrawals in recent years. The move aims to position WeSure as a major and influential player at the top of the Israeli capital market.
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