Ofer Yanai in another move - Nofar will purchase another 25% of Ellomay shares for about 250 million shekels

Ofer Yanai, the controlling shareholder of Nofar Energy, is embarking on another financial move in which the company will increase its stake in Ellomay Capital from 46% to 71% by purchasing shares from a series of institutional entities. Calcalist has learned that Nofar will purchase approximately 25% of Ellomay's shares for about 250 million shekels, based on a company valuation of about 970 million shekels — a premium of about 15% over its stock market value, which currently stands at about 60 shekels per share.

The shares will be purchased from Yelin Lapidot, Menora, Phoenix, and other mutual funds. The price Nofar will pay will be 70 shekels per share. The consideration will not be paid in cash, but through the allocation of new Nofar shares, amounting to about 3% of the company's share capital, which will be transferred to the institutional entities selling it the Ellomay shares. Thus, Yelin Lapidot, Menora, and Phoenix will receive Nofar shares instead of the Ellomay shares they currently hold.

From Nofar's perspective, the move is expected to strengthen the company's equity, while for the institutional entities, it is a sale of Ellomay shares at a premium to the market price. Yanai himself acquired control of Ellomay from the company's founders at a valuation of 960 million shekels, a valuation similar to that at which Nofar is executing the deal with the institutional investors. Last week, it was revealed in Calcalist that Yanai is managing another move, in which Nofar is expected to acquire control of the Reindeer power plant project from Phoenix.