September Edition 2023

11 Israeli companies and the London Stock Exchange – 23 listed and growing interest Given the challenges of raising funds at present, the London Stock Exchange has held up well adds Levin of Dechert: “London remains a key global financial centre and the London Stock Exchange trying to attract global companies to list on it in preference to a New York listing. Good companies from Israel will surely receive a warm welcome should they decide to list in London.” This has played out well with Israeli companies. There are currently 23 Israeli owned / operated companies on the Main Market (13) and the AIM (10). This includes cyber company, KAPE, fintech company, PLUS500 Ltd., gambling software company, Playtech PLC, among many others. Last November, Israel’s Delek Group completed the flotation of its Ithaca Energy subsidiary on the London Stock Exchange - at a valuation of £2.5 billion. White & Case’s Turgel points out: “We do expect more Israeli issuers to list on the LSE. Against the backdrop of a global race by the principal stock exchanges, including the NYSE, Nasdaq, and LSE to streamline their listing requirements to attract issuers, we anticipate that the LSE, especially following the completion of the recent FCA reform, will become an even more attractive venue for Israeli issuers to raise capital. With its established reputation and a diverse investor base, the LSE is poised to become an attractive platform for Israeli unicorns looking to expand their funding options and enhance their international visibility.” Michael Dawes, equity capital markets partner at Bird & Bird: “The UK has held its own in recent months when compared to global capital markets activity, with the London Stock Exchange reporting 179 IPOs and follow-on raises in H1 2023, raising £11bn. Globally equity capital markets have been depressed for the past year, but I think that we’re reaching peak inflation and interest rates, and there are definite signs of activity in the UK IPO market. We’re working on a number of listings that are looking to position themselves for autumn 2023 or spring 2024, when we expect appetite to return in certain sectors.” Fellow Bird & Bird partner, Meisels adds: “While it is no secret that in recent years Israeli (and other) tech companies have often favored IPOs in the US, there are advantages to listing in the UK and regulators are actively streamlining the UK listing regime to further encourage high-growth companies to choose London as their IPO destination. Further attention to this is likely to take place given Arm’s recent high profile decision to list in New York rather than London.

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