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07/01/2021 | Press release | Archived content

Management of ETGA Opens Trading on the Occasion of its IPO on TASE

Management of ETGA Opens Trading on the Occasion of its IPO on TASE

Press Release
01/07/2021

‚ÄčTel Aviv, July 1, 2021 - ETGA's management this morning opened trading celebrating its IPO on the Tel-Aviv Stock Exchange (TASE).

ETGA (E.T.G.A. Group) is one of 64 companies that have joined TASE since the start of 2021, which together have raised NIS 8 billion. ETGA is included in TASE's services sector, which comprises 20 companies having a total market cap of NIS 11 billion.

The Group operates in the logistics and non-banking financing sectors and provides end-to-end management services along the whole supply chain for imports to Israel and exports from Israel of commodities and goods from a variety of sectors that are sent by air and sea freight. ETGA is engaged in international forwarding, including cargo consolidation, customs clearance and cargo insurance, and constitutes a one-stop-shop for its customers in all matters pertaining to international trade and transport of goods and products to various destinations throughout the world.

The company has special expertise in the logistics field and is one of the leaders in the developing field of cargo consolidation (LCL). Cargo consolidation is the logistics solution for importers and exporters wishing to transport goods in quantities not warranting a whole container. The company provides its customers with a solution whereby several consignments from different shippers are consolidated into one container. Among the factors contributing to the blossoming of the cargo consolidation field in recent years has been the steep growth in e-commerce activity.

ETGA is active in the non-banking overseas financing field through TOAM, which has unique expertise in import financing. TOAM provides a comprehensive solution for its customers: goods financing, taxes and customs financing, supply chain management, and procurement management for the customer. Within this framework, TOAM is in direct contact with the suppliers on behalf of its customers and manages the entire procurement process on their behalf. The company has stated that it is working to expand its financing activity into new fields, such as the real estate financing field, factoring, and so forth. As of March 31, 2021, the scope of the financing extended by TOAM amounted to NIS 285 million, a 22% increase compared to the scope of credit extended by it as of December 31, 2020.

The company has in excess of 2,000 customers and employs 170 staff; its income in the first quarter of 2021 amounted to NIS 103 million.

The company has raised NIS 130 million through a non-uniform offer of shares to institutional investors, at a market cap of NIS 400 million.

At the end of trading on August 5, 2021, the semi-annual rebalancing date, the shares of the company are expected to join TASE's TA-Growth and TA All-Share indices.

Liran Jacobsberg. ETGA's CEO, stated: 'ETGA has demonstrated strong growth in the logistics sector as well as an increase in the scope of credit extended by it in the non-banking financing sector and we are pleased that the public will now be able to participate in the company's success. We are delighted to be opening trading and are proud that in leading institutional investors on the Israeli market have chosen to participate in the offering. Along with satisfactory organic growth, we shall be seeking acquisition opportunities that will serve to strengthen our powerful position in the fields in which we are active.

Sarit Berman, Listings Unit Economist at TASE said: 'since the start of 2020, we have seen a large number of new companies, in a variety of sectors and sizes, joining the Tel Aviv Stock Exchange and choosing to make IPOs as part of these companies' development, thereby enabling the Israeli public to be part of the Israeli economy's success. We wish ETGA's management and its employees further success thereby benefiting its customers, investors and the Israeli economy as a whole.

In the picture from right to left: Itzik Marom, CFO of ETGA's logistics segment, Ofer Bassan, ETGA's CFO; Liran Jacobsberg, ETGA's CEO; Kineret Ya'ari, Vice Chair of ETGA's Board and Chief Investment Manager of DBSI Group; Barak Dotan, Chair of ETGA's Board and owner of DBSI Group; Nir Cohen, Director of ETGA and CFO of DBSI Group; Sarit Berman, Listings Unit Economist at TASE; and Amnon Neubach, Chair of TASE's Board.

Photography credit: Magma, the photo is free of charge.

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