Nofar Energy Increases Stake in Alumy Capital to 71% in 250 Million Shekel Deal

Ofer Yanai, controlling shareholder of Nofar Energy, is advancing a financial move to increase Nofar's ownership in Alumy Capital from 46% to 71%. The company will acquire approximately 25% of Alumy's shares from several institutional investors for about 250 million shekels, valuing Alumy at around 970 million shekels. This price represents a 15% premium over Alumy's current stock market price of 60 shekels per share, with Nofar paying 70 shekels per share.

The shares will be purchased from institutional investors including Meitav Dash, Menora, Phoenix, and other mutual funds. Instead of a cash payment, Nofar will issue new shares equivalent to roughly 3% of its share capital to these institutions, effectively exchanging Nofar shares for their Alumy holdings. This transaction is expected to strengthen Nofar's equity base, while the institutional investors benefit from selling Alumy shares at a premium.

Yanai originally acquired control of Alumy from its founders at a valuation of 960 million shekels, similar to the current deal valuation. Additionally, it was recently revealed that Yanai is pursuing another transaction in which Nofar plans to acquire control of the Reindeer power plant project from Phoenix.