Israel's Ashdod Port to launch IPO of up to 49% of its shares

Israel’s government-run Ashdod Port Company said yesterday it plans to launch an initial public offering of up to 49 per cent of its minority shares in order to expand the company’s capital base and increase its future profits, Reuters reports.

Ashdod, the last remaining state-owned port, has stayed open during the current war on Gaza.

The firm said it has published a tender to select an issuance adviser for the IPO, effectively initiating the public listing process.

Israeli ports have experienced a significant drop in cargo volumes as a result of Israel’s genocidal war on Gaza and the subsequent Houthi efforts to stop Israeli-linked vessels from travelling through the Red Sea to the occupation state.

According to figures from Statista Research Department on 9 August 2024, in the first quarter of 2024, the total volume of cargo loaded and unloaded at Israeli seaports decreased to about 12.9 million metric tonnes. Between the third quarter of 2024 and the first quarter of 2024, cargo traffic fell by almost 20 per cent.

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