Delek unit Ithaca set for London IPO next week
Delek Group Ltd.’s UK North Sea oil and gas production unit Ithaca Energy is set for its flotation on the London Stock Exchange next week. The flotation will give Ithaca a valuation of between USD2.9 billion and USD 3.6 billion, and inject USD 340 – USD 540 million cash into Delek.
This will be another milestone in a remarkable recovery for Delek, controlled by Yitzhak Tshuva (50.2%), which currently has a market cap of NIS 9.8 billion. In the dark days at the start of the Covid crisis in March-April 2020, the company was on the brink of collapse.
Delek has been eyeing a London flotation for many years of its gas and oil exploration and production activities in the Eastern Mediterranean, which are carried out by NewMed Energy (TASE: NWMD) (formerly Delek Drilling). NewMed Energy holds a 45.3% stake in the Leviathan gas field offshore from Israel and a 30% stake in the Aphrodite gas field offshore from Cyprus.
