Following Bullying Allegations, Erez Nahum Launches Competitor to Apax Israel
Former Apax Israel partner Erez Nahum is raising 500 million shekels for his new Leox Opportunity Fund. The fund will focus on mid-market investments, directly competing with his former employer.
Against the backdrop of the lawsuit he filed against Zahavit Cohen and the Apax Israel fund she heads, Erez Nahum, formerly number 2 at Apax Israel, is seeking to raise a new investment fund of half a billion shekels focused on mid-sized Israeli companies. Calcalist has learned that Nahum is currently presenting the Leox Opportunity Fund to institutional entities, banks, and family offices.
According to the presentation, the fund will invest $20–30 million per deal in companies with a value of $100–200 million and an enterprise value (EV) of 300–400 million shekels. This targets the same market segment as Apax Israel (AMI), setting the stage for direct competition. The fund will focus on consumer goods, services, defense, and technology.
Nahum stated that the first deal is in advanced negotiations and will be executed as a co-investment alongside institutional partners. The fund plans to deploy capital within four years, with a 2% management fee and a 20% success fee. Nahum is expected to bring on additional partners to manage the fund.
Recent months have seen a surge in investment professionals establishing private funds for small and medium-sized enterprises, including the Brit fund by Ami Bam, One Invest led by Ofer Aviran, and the David fund established by Stella Cohen.
Nahum spent eight years at Apax Israel, serving as chairman of Psagot and as a director at Max Stock. However, his relationship with Cohen deteriorated. Last February, Nahum filed a 10 million shekel lawsuit in the Tel Aviv District Court against Cohen and the Apax funds, alleging illegal dismissal and workplace bullying.
Cohen’s defense statement claims that Nahum attempted to oust her to take her position. She asserts that after failing, he launched a campaign of revenge to damage her reputation and business, maintaining that his dismissal was lawful and based on his failure to fulfill his managerial duties.
