Dudu Ezra Group Acquires Stop Market Chain for 600 Million Shekels
Dudu Ezra Group has signed an agreement to acquire the Stop Market chain for 600 million shekels, creating a retail group with 22 branches and 1.5 billion shekels in annual revenue.
A major deal in the Israeli retail sector: Dudu Ezra Group, owner of the Shuk Herzl supermarket chain, has signed an agreement to acquire the Stop Market chain for 600 million shekels. The merger will create a retail group operating 22 branches with an annual turnover of approximately 1.5 billion shekels.
Financial Performance and Metrics
This marks a significant exit for the Mashiah family, which founded Stop Market and has owned it to date. Stop Market generates an annual revenue of 880 million shekels, an annual EBITDA of 60 million shekels, and a net profit of 40 million shekels. The chain employs about 250 workers, boasts an annual revenue of approximately 43,000 shekels per square meter, and counts some 270,000 loyalty club members. The company carries no financial debt.
Stop Market is characterized by operations seven days a week, from morning until night, focusing on relatively large branches with an emphasis on premium products. Founded 26 years ago by Yossi Mashiah from Yokneam, negotiations for the acquisition were first revealed last March and have now culminated in a signed agreement.
Financing and Future Plans
The Dudu Ezra Group will secure financing of close to half a billion shekels from Bank Hapoalim to execute the transaction. However, Poalim Equity, the investment arm of Bank Hapoalim, will not enter the deal as a shareholder. Ezra plans to lead the merged group to an initial public offering (IPO) on the Tel Aviv Stock Exchange no earlier than 2028, following the implementation of an expansion plan, aiming for an ambitious valuation of 2 billion shekels—a target that carries both operational and macroeconomic risks.
Dudu Ezra, a farmer from Moshav Ramot Naftali in the Upper Galilee, established his holding group in 1990. The company specializes in the marketing and distribution of fruits and vegetables, operating around 100 fruit and vegetable departments under franchises with various retailers. In addition, it operates the Shuk Herzl chain, which currently numbers 11 branches, with five more expected to open over the coming year. The existing business ties between the groups served as the foundation for the acquisition.
