Israeli Robotics Firm Mitronics Shares Surge 40% Amid Acquisition Talks by Pimi Fund

Mitronics, an Israeli robotics company specializing in pool cleaning robots, saw its shares jump nearly 40% on the Tel Aviv Stock Exchange on Monday following reports of acquisition talks. The company confirmed it is in discussions with Israeli investment fund Pimi regarding the potential sale of a 51% stake to reduce bank debts. Trading was temporarily halted before the market opened pending the announcement, which was officially released at noon.

Founded in 1990 by members of Kibbutz Emek Yizrael, Mitronics produces various pool-related products, including automatic covers and drowning prevention alarms, but is best known for its unique 'Dolphin' pool cleaning robot. The company once reached a valuation exceeding 9 billion shekels in 2022 but has since lost over 98% of its value, dropping below 200 million shekels due to competition from cheaper Chinese rivals. Despite Monday’s surge, the stock remains down 45% over the past year.

If the sale proceeds, the founding members from Emek Yizrael will relinquish their 35-year ownership stake. The acquisition talks mark a significant development for Mitronics as it seeks to stabilize its financial position and compete more effectively in the global market.