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Annual Transactions Report of Grant Thornton Israel

Executive Summary-Recap of 2021

Growth in the transaction market – Following the stability of the transaction’s market during COVID-19 pandemic crisis in 2020, the Israeli’s transaction’s market keeps hitting new records.

Throughout 2021, the volume of the total transactions (M&A and investment transactions) kept growing, reaching to 36 billion dollars.

An increase of 100% in comparison to 2020. Transaction value – The median transaction value in 2020 was about $30 million, higher than in previous years. High rate of large-size transactions – The number of large transactions (between $50 to $1 billion dollars) executed in 2021 was 188, about 120% higher in comparison with 2020.

TASE activity – In the first 11 months of 2021 89 IPOs were issued, mostly tech companies. An upward trend starting from November & December of 2021 with a total of 13 IPOs that were issued.

In September 2021 the permanent FDA’s approval of Pfizer’s COVID-19 vaccination and the use of the third vaccination in Israel, had a positive effect on the trade activity in TASE.

Investor analysis in Israeli target companies by country (a chart)

International comparison– The number and amount of the total transactions in Israel was indicating a substantial growth in 2021. As well, a significant growth was shown in developed European countries.

Foreign investors still believe in the Israeli technology – American investors are still the main buyers of Israeli companies’ acquisitions, they were involved in 219 transactions of Israeli companies. The main European investors of 2021, are from: UK, Germany, France and Switzerland. each one were involved in average of 30 transactions of Israeli companies.

The main Asian investors of 2021, are from: Singapore, China, Japan, South-Korea and Hong-Kong. each one were involved in average of 19 transactions of Israeli companies Industry analysis – The technology industry is the leading destination for investments in the Israeli market. About 78% of transactions are technologically oriented.

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Shlomi Bartov
Partner, CEO of Fahn Kanne Consulting Ltd.
Shlomi Bartov