Violence Against Japnika Chain Casts Doubt on Bank Leumi's $200 Million Investment Deal

A recent surge in violent attacks targeting Japnika, an Asian restaurant chain owned by businessman Barak Abramov, is threatening to unravel a major investment deal with Bank Leumi. Over the past days, several serious incidents including grenade throws and shootings at Japnika branches have raised concerns about the safety and stability of the business. These attacks, believed to be linked to organized crime conflicts, have cast a shadow over the partnership between Japnika and Leumi Partners, the investment arm of Bank Leumi.

The controversy centers on a landmark transaction in which Leumi Partners acquired a 20% stake in Japnika for 200 million shekels, valuing the company at one billion shekels. This deal, which had already reached closing, was championed by Leumi Partners' new CEO Victor Vakrat despite warnings from advisors. Sources familiar with the matter revealed that Leumi executives are now alarmed and uncertain about the risks they have taken on.

Industry insiders note that the nature of Japnika and Abramov's business differs significantly from other restaurant groups, contributing to skepticism about the deal. Questions have also been raised about how the transaction passed the bank's rigorous due diligence process. With the deal officially closed, any attempt to reverse it would likely involve complex legal and financial challenges.

Bank Leumi and Leumi Partners have declined to comment on the situation. Meanwhile, the ongoing criminal incidents continue to threaten Japnika's operations and reputation. Experts in the sector suggest that under these circumstances, Bank Leumi might seek to withdraw from the partnership to mitigate further damage, although no official steps have been announced yet.