Altshuler Shaham Sells Public Arm for $270 Million

Altshuler Shaham Investments, a major Israeli financial services firm, announced on Monday the finalization of a deal to sell its publicly traded entity, Altshuler Shaham Finances, for approximately 1 billion shekels (about $270 million USD). The sale is to Yair Levinstein, the current CEO of Altshuler Shaham Finances, and the company Wishor Globaltech.

Under the terms of the agreement, Altshuler Shaham Ltd. will sell its 55% stake in Altshuler Shaham Finances to Levinstein and Wishor Globaltech. This transaction values the public company at roughly 1.8 billion shekels. Levinstein, who already holds about 15% of the company, will increase his stake to 25%, while Wishor Globaltech will acquire 45%. Levinstein will continue to serve as CEO, aiming to expand the company's operations into new areas with the support of the new controlling shareholders.

The deal represents a significant strategic move for Wishor Globaltech, broadening its reach into long-term savings and financial sectors. Altshuler Shaham Finances manages approximately 150 billion shekels in pension and provident funds, alongside non-bank credit and alternative investments. These activities complement Wishor Globaltech's existing insurance and financial operations in Israel and the United States, reinforcing its position as a leading financial group in Israel.

Meanwhile, Altshuler Shaham Ltd., which will remain under the ownership of Gilad Altshuler and Kalman Shaham, will continue to operate its private activities. These include mutual funds, portfolio management, and other ventures such as Altshuler Shaham Trade and various investment funds. The company will leverage over three decades of experience while focusing on innovation and client commitment.

Altshuler, Shaham, and Levinstein stated that the new structure was agreed upon mutually, fostering growth for each entity. Emil Weinshel, founder and chairman of Wishor Globaltech, expressed confidence in the acquisition, highlighting its potential to create shareholder value and enhance competition in the Israeli market by offering a wider range of products and services to savers and policyholders. The transaction is pending regulatory approval, and until then, all company operations, employee roles, and client services will remain unchanged.