Jumping by 21%: The hot stock on the stock exchange today and the reason it is leaping
The infrastructure company Rimon is acquiring control of Inter Industries at a value of about 169 million shekels, a premium of about 17% over the market price. But the stock is jumping even more - what does this mean for investors and what is behind the move?
Shares of Inter Industries are jumping today by about 21%, after the infrastructure company Rimon announced that it would acquire the controlling interest in the company. The market not only welcomed the deal, but priced the stock above the price that Rimon itself is willing to pay - a sign of the market's confidence that the new buyer will know how to get more out of the company than it is currently worth.
Rimon signed an agreement with the current controlling shareholders of Inter Industries to purchase about 39.8% of the company's shares for about 67.2 million shekels. The price, 3.6 shekels per share, reflects a company value for Inter of about 169 million shekels. For comparison, on the eve of the report, Inter was traded at a value of only about 144 million shekels, so Rimon is paying a premium of about 17% on the market price. Rimon's stock is rising in response to the deal by about 2.5% and is completing a rise of about 81% since the beginning of the year to a value of 6.39 billion shekels.
Instead of stabilizing around the deal price, investors are pushing it higher. Since this is a purchase of an existing controlling interest and not a tender offer for all shareholders, the public holders will not receive a purchase offer for their shares. They simply remain with their existing holding, and from the stock's behavior it appears that they believe that Rimon will grow the company and utilize synergies that will increase its value beyond the current price tag.
Why does Rimon want Inter? The acquired company, more than 50 years old, operates exactly at the heart of the electricity market wave in Israel. It specializes in the execution of projects (EPC) in the fields of electricity, electro-mechanics, renewable energy and transformer stations, as well as long-term service and maintenance for security agencies and public institutions.
In 2025, Inter recorded revenues of about 716 million shekels and an order backlog of about 1.02 billion shekels. Just since the beginning of 2026, it has already signed agreements in the field of transformer stations in the amount of about 300 million shekels, including a project for the M3 line of the metro in Gush Dan and orders for the supply of transformers for Data Centers in a cumulative amount of about 130 million shekels.
The background to all these is a huge wave of investments: according to the electricity market report, investments of about 86 billion shekels are expected by 2031 in the electricity grid, among other things in doubling the transformation capacity. Inter itself has undergone a recovery plan in the last two years that returned it to operating profit in 2025, after a heavy loss in 2024.
Rimon, founded in 1997 and issued on the stock exchange in 2021, is one of the prominent infrastructure companies in Israel, the largest private water supplier in the country and a player in underground and energy projects. Its controlling shareholders are the Granot kibbutz corporation and the company's founder Yossi Almalam.
Rimon opened 2026 with revenues that jumped by about 55% to about 383.6 million shekels in the first quarter, net profit that rose by about 25% to about 23 million shekels and an order backlog of about 3 billion shekels. For it, Inter is another link in a chain of acquisitions, after Pach Taasiya, Mer Taasiyot and Eurohinka, as part of a growth strategy through mergers.
Alongside the enthusiasm, it is worth remembering the risks. The deal is subject to the approval of the Competition Authority and other conditions precedent, so there is no certainty that it will be completed. The field itself is also sensitive: project activity relies on tenders, on the timing of revenue recognition and on low margins, and any delay can erode profitability.
For investors, Inter remains a small and volatile stock, but the story behind it, the entry of a strong entity into a field into which the entire market is pouring billions, is an event that can change the company's trajectory. The deciding question will be whether Rimon will succeed in translating the potential into the bottom line.
Yossi Almalam, founder and CEO of the Rimon Group, said:
"The acquisition of Inter Industries, which operates in the execution fields of the electricity worlds, is consistent with the company's growth strategy, and will allow Rimon to expand its activity into the field of electricity, electro-mechanics and Data Centers, where we see a huge opportunity and high demand. Future infrastructure projects and Data Centers require high electro-mechanical capabilities and the acquisition of Inter will allow Rimon to complete another layer in the value proposition for our customers. We will lead the company to continued growth in cooperation with the company's management headed by Shlomi Asaraf."
