Businessman Gil Agmon Eyes Credit Card Firm Cal in Potential $1 Billion Deal
Translated & summarized from Bizportal by baba
Businessman Gil Agmon is in early talks with Discount Bank to acquire a controlling stake in credit card company Cal for an estimated $800 million to $940 million. This move follows the collapse of a previous deal for Cal due to regulatory concerns. Agmon's traditional automotive business, Delek Motors, has faced declining market share and financial losses, prompting his diversification into new sectors. The potential acquisition of Cal offers Agmon an established credit infrastructure, but financing the significant investment will be a key hurdle.
The story in 6 lines · by baba
- Businessman Gil Agmon is negotiating to buy a controlling stake in credit card company Cal for $800 million to $940 million.
- The potential deal involves Agmon's Delek Motors and comes after a previous sale of Cal was blocked by regulators.
- Delek Motors, Agmon's automotive business, has seen declining market share and financial struggles.
- Agmon has a track record of diversifying into new sectors, including energy and environmental services.
- Financing the acquisition will be a major challenge for Agmon, likely requiring partners or debt.
- Cal is a major credit card operator with significant transaction volumes and credit portfolios.
Israeli businessman Gil Agmon, known for his ventures in the automotive and energy sectors, is reportedly in preliminary talks with Discount Bank to acquire a controlling stake in the credit card company Cal. The deal, valued between 3 to 3.5 billion shekels (approximately $800 million to $940 million), would involve Agmon's company, Delek Motors, potentially with a financial partner, purchasing 50% to 55% of Cal's shares.
Agmon's interest comes as a previous deal to sell Cal to George Horesh and Harel Insurance Investments stalled due to concerns from the Antitrust Authority regarding Union's holdings in Super-Pharm. The authority's objection stemmed from Cal's credit card operations with Shufersal, a competitor to Super-Pharm's Be pharmacies.
Delek Motors, once a dominant force in Israel's car import market with Mazda and Ford, has seen its market share decline significantly due to increased competition from Chinese brands and the shift to electric vehicles. The company reported a loss of approximately 78 million shekels in the first half of the year, contrasting with a profit in the same period last year, and its stock has lost considerable value. Agmon, however, recently increased his stake in Delek Motors to 59%.
Agmon has a history of successfully diversifying his business interests. In 2018, he led the acquisition of Veridis, an environmental and energy company, which was later successfully listed on the stock exchange. However, subsequent ventures, including the acquisition of Infinea and investments in tech companies like Hailo, have yielded mixed results, with Hailo leading to a significant write-down.
Cal, currently managed by Yafit Gryn, boasts approximately 5.1 million active cards and significant consumer and business credit operations, with transaction volumes reaching around 209 billion shekels in 2025. The acquisition would provide Agmon with an established credit infrastructure and distribution network, potentially enabling further financial product development around the automotive sector. However, financing the acquisition, which requires an estimated 1.5 to 1.93 billion shekels for the stake, will be a major challenge for Agmon, likely necessitating a partner, debt financing, or asset sales, given Delek Motors' current market value and cash reserves.
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