Israeli business group pushes TASE listings for IAI and Rafael IPOs
The Association of Publicly Traded Companies in Israel is urging the government to list state-owned defense companies, including Israel Aerospace Industries and Rafael Advanced Defense Systems, on the Tel Aviv Stock Exchange rather than on US markets.
The appeal follows reports that the government is considering initial public offerings for IAI and Rafael on Nasdaq, with potential valuations reaching tens of billions of dollars. The proposed offerings could involve sales of up to 30% of the companies’ shares and generate billions of dollars for the government.
In a letter to senior ministers, association CEO Ilan Flato argued that the companies are strategic national assets and should be listed first and foremost in Israel. He said growing global demand for Israeli defense technology, rising order backlogs, and increased investor interest make a domestic listing especially important.
The debate reflects competing priorities around the potential IPOs. Supporters of a US listing argue that Nasdaq could provide broader access to international investors and greater flexibility around disclosure issues tied to classified defense programs. Opponents say an overseas listing would deprive Israel’s capital markets and local investors of exposure to one of the country’s fastest-growing sectors.
Read more on Ynet.
