Afcon Targets 1 Billion Shekel Valuation for Renewable Energy IPO
Afcon Holdings is targeting a 1 billion shekel valuation for the upcoming IPO of its renewable energy division, which includes a 770-megawatt pipeline and EV charging operations.
Afcon Holdings, controlled by the Shmeltzer family, is currently preparing a prospectus for the initial public offering of its renewable energy division. Calcalist has learned that the company is targeting a valuation of 1 billion shekels for the activity. Afcon Renewable Energy boasts a project pipeline with a capacity of 770 megawatts.
Capital market sources claim that in the current IPO market, achieving this valuation will be a challenging task. Afcon, managed by David Herali, previously attempted to merge the activity with Sunflower, controlled by the Keystone infrastructure fund. However, in January of this year, the deal collapsed due to a 50 million shekel gap in valuation assessments. Within the framework of that deal, Afcon Renewable Energy was valued at 190 million shekels.
Following the breakdown of negotiations with Sunflower, Afcon hinted that it would float the renewable energy business units that were supposed to be sold to Sunflower. Now, the company plans to include additional activities in the offering to boost the targeted valuation. Israel Reif, son-in-law of the late Shlomo and Atalia Shmeltzer, serves as chairman of Afcon, which is traded at a market capitalization of 3.5 billion shekels.
Afcon operates in the renewable energy sector in Israel and abroad, alongside an electric vehicle charging infrastructure business. In the EV charging segment, the company holds a 28% market share, and in the second quarter of 2026, this division reported a positive EBITDA of 1.2 million shekels.
