Gad Dairy to Pay 3 Million Shekels to Competition Authority Over Merger Omissions
Gad Dairy will pay 3 million shekels to the Israel Competition Authority under a consent decree after omitting details of a cooperation agreement with Remilk during its merger review with Meshek Weiler.
Gad Dairy, controlled by Ezra Cohen and managed by Amir Aharon, will pay 3 million shekels to the Israel Competition Authority under an agreed-upon consent decree. The penalty stems from the company's failure to provide complete information required during the antitrust review of its merger with the tofu and dairy alternative manufacturer Meshek Weiler.
According to the Competition Authority, Gad failed to fully respond to a data demand, violating the Economic Competition Law. The investigation revealed that while reviewing the merger, the authority discovered that Gad had signed a separate cooperation agreement with Remilk, a developer of animal-free milk, but omitted this crucial detail from its initial merger filings.
Following the discovery, the authority's merger team instructed Gad to submit amended notifications, treating Remilk products as part of the dairy alternative market. Consequently, the regulator delayed the transaction's approval to reassess its competitive implications. The merger was ultimately approved in March 2026, with Gad completing the acquisition of a controlling stake in Meshek Weiler in April.
The consent decree does not constitute an admission of wrongdoing by Gad Dairy and will be submitted to the Competition Tribunal for final endorsement. Subject to judicial approval, the Competition Commissioner will refrain from taking further enforcement actions regarding the withheld information. Gad Dairy stated it will record the 3 million shekel expense in its third-quarter financial statements, scheduled for release in the coming weeks.
