Businessman Rami Levy is moving toward listing a third company on the local stock exchange, this time drone maker Cando Drones. The company, in which Levy’s retail chain holds 30.5%, plans an initial public offering in Tel Aviv at a pre-money valuation of about NIS 83 million and wants to raise roughly NIS 19 million by selling about 20% of its shares.
As part of the deal, Cando Drones will also issue warrants to investors that could add about NIS 14 million if exercised in full. That would imply an effective valuation lower than the one reflected by the share sale. The company develops and operates autonomous drone systems for both security and civilian uses, including monitoring, guarding and documentation for municipalities, commercial sites and industrial plants, as well as warehouse inventory automation and cargo and passenger transport through its Dronery systems.
After the outbreak of the Iron Swords war, Cando Drones teamed up with Alpo System to develop a drone-mounted machine gun system using 5.56 mm or 7.62 mm weapons for pinpoint covering fire or remote automatic fire at altitude. Last year the system was demonstrated to MAFAT, and it is now in review and approval proceedings ahead of a first order.
The company was founded in late 2019 by three former senior officers: CEO Yoeli Or, former commander of the Carmeli and Hermon Brigade, CTO Moshe Kipnis, one of the developers of Iron Dome, and COO Alon Kloss, formerly chief artillery officer. Or holds about 18% of the company, Kipnis about 9% and Kloss about 7%, while Rami Levy remains the largest shareholder. Levy bought about 33% in 2022 for around NIS 1.7 million and also provided a NIS 3.3 million shareholder loan.
Cando Drones ended 2025 with revenue of about NIS 7 million, up 11% from 2024, but widened its net loss to NIS 11.9 million from NIS 6.4 million. It also reported a working capital deficit of about NIS 3.4 million and negative operating cash flow of about NIS 2.9 million, leading its auditors to include a going-concern warning.
