By: Jerome Brookshire

In one of the most closely watched financial developments on the Israeli capital markets this year, Ampa Group is preparing for what could become one of the largest initial public offerings (IPOs) on the Tel Aviv Stock Exchange (TASE) in recent years. As Globes.co.il, Israel’s leading business news platform, reported back in May, Ampa Group — under the control of the Nakash brothers (holding a 49% stake) and veteran businessman Shlomi Fogel (25%) — has published a public prospectus signaling its IPO intentions.

While the final size of the offering has not yet been officially disclosed, market analysts cited by Globes.co.il estimate that Ampa will seek to raise between NIS 700 million and NIS 800 million, aiming for a company valuation in the range of NIS 3 billion to NIS 3.5 billion. If realized, the IPO would represent a significant milestone on the TASE, reflecting the group’s growing influence in Israel’s income-producing real estate sector and its diversified investment portfolio.

Ampa Group’s current prominence is built on a foundation of historic enterprises. As the report at Globes.co.il emphasized, many of the properties in the group’s portfolio have been developed over the decades on lands originally owned by Ampa and Amcor — two of Israel’s storied industrial companies. The flagship asset among these holdings is the Electra Tower in Tel Aviv, a major commercial landmark prominently situated along the Ayalon Highway.

Beyond real estate, Globes.co.il noted that Ampa Group has established a diversified presence in several key sectors. These include a stake in WeWork Israel, the co-working office space operator; leading positions in agricultural export companies Agrexco and Carmel; and a footprint in non-bank financial services through Ampa Capital. The latter, under the leadership of former senior banker Yuval Gavish, represents Ampa’s strategic move into alternative financing, a sector gaining traction in Israel’s evolving financial landscape.

According to financial data published in the company’s prospectus and analyzed by Globes.co.il, Ampa Group recorded total revenues of NIS 707 million in 2024 — a decline of approximately 15% compared to NIS 829.7 million in 2023. The downturn was attributed primarily to a slowdown in residential apartment sales, reflecting broader market trends in Israel’s real estate sector.

However, despite the dip in revenue, Ampa Group delivered robust improvements in profitability. The group’s operating profit surged by 25% to NIS 414 million in 2024. This increase was driven largely by upward revaluations of the group’s asset portfolio, a key factor in bolstering its financial standing ahead of the planned IPO.

Most notably, Globes.co.il highlighted a significant 43% rise in net profit for 2024, which reached NIS 140 million. This strong bottom-line performance is likely to feature prominently in Ampa’s pitch to prospective investors as it seeks to position itself among the TASE’s top publicly traded companies.

The forthcoming IPO marks a pivotal chapter for Ampa Group. The listing will provide the group with a platform to access broader capital markets, enhance corporate visibility, and potentially fuel further expansion of its diverse business interests.

On July 17^th, Globes reported that Globes.co.il reported that Ampa Group raised NIS 600 million at a valuation of NIS 3 billion after money. Ampa had to adjust its valuation expectations to meet market realities.

Ampa Properties, a prominent subsidiary of the Ampa Group, also announced plans for a large-scale mixed-use development in Herzliya Pituach that will involve an estimated investment of NIS 1.1 billion (approximately $290 million). As reported by Ynet News in May, the ambitious project, named Ampa Tower, is poised to become a landmark addition to one of Israel’s most sought-after business and residential districts.

According to the report at Ynet News, construction is scheduled to commence within three months at the intersection of Maskit and Sapir Streets, a prime location within Herzliya Pituach’s thriving commercial zone. Project completion and occupancy are expected in early 2030, marking a significant long-term commitment by Ampa Properties to the urban transformation of the area.

Spanning roughly 7 dunams (1.7 acres), the development will replace the existing Korkus building, reshaping the local skyline with a striking 30-story tower. Ynet News highlighted that the structure will rise to a height of 120 meters (394 feet) and encompass a total built area of approximately 65,000 square meters (700,000 square feet).

Ampa Tower will feature a diversified allocation of space designed to accommodate a blend of commercial, residential, retail, and public uses. 45,000 square meters (484,000 square feet) will be dedicated to high-end office spaces, targeting major corporations and the development of expansive corporate campuses.

An additional 4,700 square meters (50,600 square feet) have been earmarked for retail purposes. This component will cater to a variety of tenants, including car showrooms, dealerships, upscale restaurants, and wellness centers — all envisioned to serve both the professional community and local residents.

Furthermore, the Ynet News report noted that approximately 2,400 square meters (25,800 square feet) will be reserved for public facilities, although the final usage plan for this space remains under deliberation.

Ampa Properties is exploring several community-oriented options for the public facilities component. Potential uses include a community-tech hub offering courses in cybersecurity, innovation, and artificial intelligence for local residents and small business entrepreneurs. Other possibilities under consideration are a dedicated conference and events center, a digital library combined with a learning center hosting lectures and workshops, or even a satellite campus in collaboration with universities and high-tech firms.

The inclusion of such facilities reflects Ampa Properties’ stated intention to integrate community development with commercial interests — a hallmark of contemporary mixed-use urban projects.

In addition to its office and retail offerings, Ampa Tower will incorporate a residential dimension designed to meet the evolving housing needs of Herzliya Pituach’s dynamic population. As the Ynet News report detailed, the tower will feature 134 rental apartments, each measuring 50 square meters (538 square feet) and equipped with balconies. The units are specifically intended for students, technology professionals, and young families — demographic groups increasingly drawn to Herzliya’s burgeoning high-tech ecosystem.

Moreover, a 117-room boutique hotel is part of the development plan. The hotel will focus on business clientele, adding a hospitality component aimed at servicing the district’s growing corporate sector.

Ido Yosef, CEO of Ampa Properties, emphasized the strategic vision behind the project in statements reported by Ynet News. “We’re committed to creating a groundbreaking project that combines advanced architecture, technological innovation and top-tier living and working environments,” Yosef said.

He further expressed confidence that the Ampa Tower will contribute significantly to Herzliya Pituach’s ongoing urban renewal efforts. Yosef believes the development will serve as both a catalyst for local economic growth and a defining feature of the area’s evolving skyline.

The announcement of the Ampa Tower project underscores Ampa Properties’ expanding role in Israel’s commercial real estate sector. The company has established a reputation for executing large-scale developments that blend commercial viability with urban integration.

The Herzliya project complements Ampa’s broader portfolio of investments, reinforcing its commitment to high-value properties in prime Israeli business districts. The project also aligns with broader trends in the Israeli real estate market, where mixed-use developments that combine office, residential, retail, and community spaces are increasingly seen as sustainable and profitable models.

With construction slated to begin imminently, the Ampa Tower project represents a major investment in Herzliya Pituach’s future. As the Ynet News report indicated, Ampa Properties’ NIS 1.1 billion commitment to this mixed-use development highlights both the company’s long-term vision and the growing significance of Herzliya as a business and innovation hub in Israel.

The integration of corporate, residential, retail, and community spaces within a single high-rise development speaks to evolving urban demands and sets a benchmark for future projects in the region. Ampa Properties’ latest venture, as reported by Ynet News, is poised to make a lasting impact on Herzliya’s urban fabric and contribute meaningfully to the district’s economic and social vitality.