Last Monday, FIMI Opportunity Funds, managed by Yishai Davidi, completed the sale of control of Hadera Paper (now Infinya) for NIS 2.35 billion. The fund, which bought control (59%) in 2015 from Clal Industries for NIS 355 million, earned more than NIS 1 billion at the end of the improvement process.
Even before the current deal, FIMI sold 14% of the company's shares to institutional entities in August 2021 for NIS 210 million, with a value of NIS 1.57 billion. Since the purchase in 2015, FIMI has distributed dividends totalling NIS 250 million.
Total profit, estimated at about one billion shekels, reflects a return of 300%. The new buyer is the Veridis Group, controlled by businessman Gil Agmon.
What will Agmon do with the company?
Agmon intends to realize part of the company's assets and focus it on activities compatible with the values of environmental quality and increasing activity in the recycling industry. Davidi stated that this deal is a strategic tool for buying and improving companies and then finding the right timing for realization.
He added that FIMI strived to improve the company's activities in a large number of areas. With excellent owners and competent management, Veridis will continue to improve and lead Infinya to new heights.
Davidi discussed processes worth NIS 700 million which include new management, formulating and implementing new strategies while investing in automation, robotics and innovative production processes.
The most important move is the employee option plan, which included a waiver of salary within the framework of employment agreements. Infinya employees earned on the options an amount estimated at tens of millions of shekels.