Menora Mivtachim Buys Back 4.98% Stake in Its Pension Fund from Allied for NIS 249 Million

Menora Mivtachim has repurchased a 4.98% stake in its pension and provident fund company from Allied for approximately NIS 249 million, valuing the company at around NIS 5 billion. Following the transaction, Allied will retain a 5.02% holding in the pension and provident fund, down from its previous 10% stake in Menora Mivtachim's subsidiary. Allied initially acquired a 4.9% stake in March 2021 for NIS 2.5 billion and increased its holding to 10% in May 2022 through an option exercised at a valuation of NIS 2.65 billion, investing a total of NIS 279 million in the pension and provident fund.

Allied's main investment remains Champion Motors Holdings, Israel's third-largest car importer responsible for Volkswagen, Skoda, Audi, and Cupra brands. Menora Mivtachim's pension fund is the largest in Israel, managing assets worth NIS 331 billion as of the end of June, having grown by NIS 170 billion since Allied's initial investment. The provident fund segment is smaller, with assets totaling NIS 60 billion. In April, Menora Mivtachim appointed Il Ayala as the new CEO of its pension and provident fund company.