The large IT services companies in Israel are known as companies that make quite a few acquisitions of companies, but it turns out that there are also opposite cases, of selling a company. Company Matrix Announced today (Thursday) after the end of the trading day an agreement for the sale of 45.2% of Infinity Labs to a company of the investment fund AMI Opportunities Funs of Apax Foundation Headed by Zehavit Cohen. The AMI Fund invests in medium-sized companies in Israel and in 2015 it raised about half a billion dollars from institutional entities from Israel and around the world.
The value of Infiniti Labs in the transaction was set at NIS 375 million and after the sale, Matrix will remain with a holding of 4.9% of the company’s shares. Upon completion of the transaction, Matrix will record in its financial statements a pre-tax capital gain of approximately NIS 160 million gross (including a revaluation of the holding balance of 4.9%). Matrix plans to distribute the full amount as a dividend. At the same time, it will stop consolidating the results of Infiniti Labs in its reports. The company notes that Infiniti Labs contributed about 3.8% to Matrix’s net profit in 2021; 2021 reports are expected to be published next week.
Infiniti Labs was founded by Matrix In 2014 and she holds it in partnership with the principals, Haim Garon and Stephen Harari. The company is engaged in training programs for the technological world. The programs are designed for trainees who are outstanding university graduates, primarily from the exact sciences, and the training is designed to enable them to gain experience in the technologies required in the worlds of digital, mobile, embedded systems and data science. At the end of six months of training, they are placed to work for clients – high-tech companies and start-ups – and at the end of a certain period, they are hired to work there.
In the 2020 reports, Matrix noted that with the eruption of the corona in March 2020, Infinity Labs shifted all training activities to a distance learning model, while maintaining the recruitment, training and sales process sequence regardless of geographical location, and thus developed tools and methodologies that could help it further develop .
Matrix, managed by Moti Gutman, is traded on the stock exchange at a market value of NIS 5.76 billion and is the IT services company with the highest value on the stock exchange. The controlling owner of the company is a Formula Group that holds 48.7% of Matrix shares, and is also the one that is expected to benefit from the large portion of the dividend that Matrix will distribute based on the capital gain that will be recorded upon completion of the transaction.