Shapir Engineering has published a prospectus for an initial public offering of shares on the Tel Aviv Stock Exchange. Shapir will attempt to raise NIS 500 million at a valuation of NIS 2.5 billion.
A week ago, "Globes" reported that the company faced several challenges, which were causing market players to cast doubt on its ability to make the IPO at the valuation that it sought, and some market sources say it will have to lower it considerably.
Shapir was founded in 1968 by the Shapira family, which has controlled and run it ever since. Its revenue in 2013 was NIS 2.21 billion, adjusted EBITDA totaled NIS 440 million, and it made a net profit of NIS 195 million. On the basis of the first half results, the company's revenue will total NIS 2.4 billion in 2014, adjusted EBITDA will be some NIS 467 million, and net profit on regular activity will be NIS 211 million.
The underwriters in the IPO will be Poalim IBI, Leumi Partners, Excellence, and Apex.
The money to be raised is earmarked for financing new projects that the company plans to undertake, among them construction of the northern section of Route 6 and construction of the new Haifa port.
Published by Globes [online], Israel business news - www.globes-online.com - on November 9, 2014
© Copyright of Globes Publisher Itonut