Kedma exits Ace owner Multi Retail at triple its money, US$61.4M valuation

What's the deal? Private equity firm Kedma CapitalDealroom has a profile for this one. Try Dealroom → has sold its 70% controlling stake in Multi RetailDealroom has a profile for this one. Try Dealroom → (TASE: MRG) to Ronen Ganon, owner of discount chain Zol StockDealroom has a profile for this one. Try Dealroom →, at a valuation of US$61.4M. Multi Retail operates the Ace, Auto Depot, and Betili retail chains in Israel.

The terms: Ganon is paying US$43M for Kedma's shares. Multi Retail chief executive Itzhak Uzana is also expected to sell his holding for US$1.41M, taking Ganon's total stake to 72% for US$44.4M.

Why it matters: The price marks a premium of about 60% on Multi Retail's share price before the announcement. The stock rose 37.89% on the Tel Aviv Stock Exchange on 12 August 2026.

The payoff: For Kedma, led by Uri Einan, Gilad Shavit, and Gilead Halevy, this is a lucrative exit. Its estimated profit, including dividends, is US$51.2M — three times what it paid a decade ago.

The backstory: Kedma bought the Ace chain from Electra Consumer ProductsDealroom has a profile for this one. Try Dealroom → in late 2016, then floated it in 2021 at a US$102.3M valuation, selling US$25.6M of shares to recoup its investment. Within three years the share price had fallen nearly 90%, dropping Ace's market cap to US$13.8M by the end of 2023 after acquisitions of the Betili, Urban, and ID DesignDealroom has a profile for this one. Try Dealroom → chains and a large write-down.

The layoffs angle: After failing to meet financial criteria, Kedma had to inject US$5.12M into the company through a rights issue. Multi Retail then ran a streamlining programme that cut jobs, mainly in management, helping the share price recover before its August 2026 decline.

What could go wrong? The deal is not yet done. Completion is subject to conditions, including approval from the Competition Authority and Ace Hardware InternationalDealroom has a profile for this one. Try Dealroom →.

The signal: A rocky public-market run has ended in a private buyout, with a discount retailer absorbing a struggling multi-chain operator. Kedma's clean exit shows patient private equity can still extract value even after a listed asset loses most of its market worth.

Read more: Globes

Image credit: Elvert Barnes