Carrefour Israel Leadership Rift Emerges Ahead of Tel Aviv IPO
A rift has emerged between Carrefour Israel CEO Inbal Harson and Co-Chairman Michael Loboshitz ahead of the retail chain's anticipated November public offering on the Tel Aviv Stock Exchange.
Leadership Friction at Carrefour Israel Ahead of IPO
Ahead of its anticipated public offering, a significant rift has emerged at the top of Carrefour Israel between CEO Inbal Harson and Co-Chairman Michael Loboshitz, whom she replaced last month. According to sources familiar with the matter, the handover between the two was brief and lacking in depth. The friction reportedly stems from Harson's desire for managerial independence and a lack of chemistry, leading her to communicate exclusively with Zvika Schwimmer, CEO of controlling shareholder Electra Consumer Products, who serves alongside Loboshitz as Co-Chairman of Carrefour.
In May, Electra Consumer Products announced that Loboshitz, who had served as the chain's CEO since 2023, would be appointed Co-Chairman alongside Schwimmer. The appointment was made ahead of Harson assuming the CEO role a month and a half ago. Harson arrived with her own handpicked team, including a chief of staff and vice presidents. Yaniv Cohen, who served as VP of Trade, resigned after learning that Harson intended to appoint Rami Shtivi, formerly of Yohananof. Harson also recruited Dani Bezalel as VP of Marketing. Additional senior departures included IT chief Yevgeny Kotkovnik and Economics and Control VP Mai Shahar.
Financial Performance and Market Challenges
Carrefour closed the first half of the year with an EBITDA (excluding IFRS 16) of ₪76 million, compared to ₪66 million in the same period last year. In the second quarter, the company posted an operating profit before other income of about ₪42 million, compared to ₪39 million in the parallel quarter, and a net profit of approximately ₪8 million compared to ₪5 million. Despite these gains, Harson faces a severe challenge regarding sales. In 2025, Carrefour's sales dropped by 1.5% to total ₪3.28 billion, and same-store sales plummeted by 9.3% in the fourth quarter. In the first half of this year, same-store sales declined by 2.6% and by 7.2% in the second quarter.
"Carrefour is preparing for its public offering in November, with Israel France Group submitting a preliminary prospectus to the Israel Securities Authority for a valuation of ₪750-950 million."
Harson was recruited ahead of Carrefour's expected IPO in November. Earlier this month, Israel France Group, which controls Global Retail (the operator of Carrefour in Israel), submitted a draft prospectus to the Israel Securities Authority based on Q2 financial statements, targeting a Tel Aviv Stock Exchange valuation of ₪750-950 million. Concurrently, Electra Consumer Products, holding a 49.49% stake in Israel France Group, is considering an offer for sale of some of its shares in the subsidiary against the backdrop of the Concentration Law.
