King Store Supermarket Chain Plans TASE IPO Within Two Years
Arab-owned supermarket chain King Store plans a Tel Aviv Stock Exchange IPO within two years. The chain, generating 1.1 billion NIS annually, unveiled a 10 million NIS flagship store in Rosh HaAyin and seeks a major Tel Aviv location.
The Israeli retail sector is bracing for a historic move as King Store, the country's leading Arab-owned supermarket chain, announced plans to launch an Initial Public Offering (IPO) on the Tel Aviv Stock Exchange within the next two years. The private discount chain, which generates an estimated annual turnover of 1.1 billion NIS, is 80% owned by the Al-Mashhadawi Group, with the remaining 20% held by the Phoenix Group.
As part of its national expansion strategy, King Store is actively seeking a location to open its first major branch in Tel Aviv. The chain already operates two branches of its sub-brand, Yom Yom, in Jaffa. A previous plan to open a branch in the Atidim high-tech park was canceled following the outbreak of the war on October 7, 2023.
National Expansion and the New Flagship Branch
King Store officially launched its nationwide expansion and rebranding campaign at its veteran branch in Rosh HaAyin. The location underwent a massive 10 million NIS renovation to become the chain's new flagship store. Spanning 6,500 square meters, the upgraded branch features 6 traditional cash registers and 7 smart cart terminals.
Magdi Kitani, CEO of King Store, stated during a press conference:
"We are full of hope to launch an IPO at the end of this process. The flagship branch in Rosh HaAyin is one of our central and most important locations, which is why it was crucial for us to invest in it and rebuild the shopping experience."
The chain currently operates 30 branches across Israel, including locations in Beersheba, Haifa, Carmiel, Ramla, Shefa-Amr, Acre, Tamra, Jerusalem, and Nof HaGalil, alongside an online sales platform based in Baqa al-Gharbiyye.
A Unique Cultural and Commercial Blend
King Store distinguishes itself by blending Israeli and Arab culinary cultures, operating seven days a week. While the stores are open on Saturdays—a period that accounts for 40% of the chain's total turnover—the fresh meat sold is slaughtered under kosher supervision, though the stores themselves do not hold kosher certification due to Sabbath operations.
To appeal to its diverse customer base, which is 80% Jewish in branches located outside or adjacent to Arab towns, the chain offers unique regional brands alongside standard Israeli products. These include yogurt drinks from the Al-Ban Al-Rocha dairy in Muawia, cheeses from the Jatt dairy, baladi labneh from Deir Hanna, and traditional Shami and Lebanese kubbeh from Kafr Manda.
Due to the religious Muslim beliefs of the founding Salah family, King Store strictly prohibits the sale of alcohol. Additionally, the chain does not sell cigarettes as a matter of corporate values and to help reduce smoking rates within the Arab sector.
Founded in 2010 as a family business, the group now employs 1,500 workers and is considering hiring foreign workers in the near future. The parent group also operates a mobile virtual network operator (MVNO), an import-trading division, and real estate holdings.
