Next Vision Chairman Downplays Major Stock Sale by Fidelity

Chen Golan, Chairman of Next Vision, stated that a significant sale of company shares by American investment giant Fidelity, which caused a sharp 9% drop in the stock price to a market value of approximately 21 billion shekels, was likely due to a technical consideration by Fidelity and not a change in their assessment of the company. Golan described the sale as a surprise, noting that Next Vision was not informed beforehand, and that the distribution occurred rapidly. He explained that according to the fund's definitions, it was required to divest from companies not meeting certain valuation criteria, leading to a technical sale rather than a negative judgment on the company. Golan emphasized that he has consistently received positive feedback from Fidelity's fund managers and analysts regarding the company's performance and market position.

Golan highlighted the positive aspects of the transaction, which involved the distribution of approximately $450 million in shares that was completed within about half an hour. Investors in the US, UK, and Israel purchased the shares, with foreign investors accounting for about 77% and Israeli investors for 23%. He noted that the discount on the sale price, which was 7% below the last closing price, was reasonable for such a large sum, and indicated that foreign hands believe in the company by holding significant stakes. Despite concerns from some investment managers about the timing of the sale, just before what is expected to be a strong quarter for Next Vision, Golan reiterated that the reason for the sale was purely technical. He urged observers to understand this as a technical event and continue as usual.

Meanwhile, Next Vision is increasing its production rate, aiming to reach 5,000 units per month by the end of the year. The company also recently reported a new order worth approximately $24 million for camera supplies.