Yad2 on the block for $1.2 billion as private equity giants jockey for position
Blackstone, Apax, Warburg Pincus, and Francisco Partners are among the top bidders in KKR’s sale.
The tender for the sale of the Yad2 website is progressing rapidly, and the online classifieds platform may be sold before the end of the year. Calcalist has learned that four of the world's largest foreign investment funds are actively bidding. All have engaged international investment banks to submit their offers in the tender, in which American fund KKR is selling the website.
The competing funds are Blackstone, Francisco Partners, Apax, and Warburg Pincus. Another fund, CVC, is reportedly preparing a bid, but in recent weeks its activity has slowed.
KKR hired Barclays and Citi to lead the sale, aiming to sell the site for around NIS 4 billion (approximately $1.22 billion). The process was first reported by Calcalist in September.
Blackstone, the world's largest alternative asset manager led by Stephen Schwarzman, has shown significant interest in Yad2. The fund already has extensive operations in Europe through its holding in Adevinta, which operates platforms similar to Yad2 in about ten countries.
Blackstone co-owns Adevinta with American fund Premiere, which considered entering the Yad2 tender but ultimately withdrew, possibly due to a recent acquisition in the United Arab Emirates that it is still integrating.
The acquisition of Adevinta, valued at around €14 billion, was finalized last year and involved a takeover bid that delisted the company from the Norwegian stock exchange. eBay, the main shareholder at the time, sold its shares to American funds for €2.2 billion. Adevinta is among the world’s largest online advertising companies, operating in more than ten countries across real estate, automotive, employment, and general commerce platforms.
Founded in 2019 as a spin-off from Norwegian media group Schibsted, Adevinta is a leading player in Europe, with brands such as Leboncoin in France, Mobile.de in Germany, and Fotocasa and InfoJobs in Spain. The company leverages data and AI to improve matching, search, and commerce. This year, it was reported that Adevinta is considering selling its Austrian operations for €500 million and its Spanish operations for around €2 billion.
For the Yad2 offer, Blackstone has engaged Jefferies Bank, signaling serious intentions. The fund, traded at $183 billion and managing $1.25 trillion in assets, would make this the largest Israeli acquisition in its portfolio if successful. Its current largest local deal was the acquisition of software company Priority last year for $800 million.
Apax has extensive experience in online classifieds. In 2019, it acquired Baltic Classifieds Group, which operates platforms in Lithuania, Latvia, and Estonia, and took it public in London in 2021 with a valuation of around £600 million.
The same year, Apax acquired New Zealand company Trade Me for $1.7 billion and invested in Spain’s Idealista in 2021 at a valuation of €1.3 billion. Apax manages its Yad2 participation through its London headquarters, with involvement from Zehavit Cohen, director of Apax Israel, potentially through the AMI fund, which raised $600 million in 2022 but has yet to make a major acquisition.
Apax previously held Tnuva, sold in 2014 for 8.6 billion shekels, and Psagot Investment House, sold in parts in 2021.
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From left: Eran Gorev, Yaron Bloch, Zehavit Cohen, Yifat Oron
(Orel Cohen, Kobi Koneaks, Tommy Harpaz)
Warburg Pincus, managed in Israel by Yaron Bloch, has executed several high-profile deals, including the acquisition of Leumi Card (renamed MAX) in 2019, later sold to Clal Holdings for NIS 2.47 billion. It also previously acquired Alliance Tires and sold it to KKR in 2013 for $500 million. The fund manages roughly $40 billion in assets and maintains a long-standing connection with Axel Springer, Yad2’s former owner.
Francisco Partners, managed in Israel by Eran Gorev, previously owned ClickSoftware (sold for $1.35 billion) and NSO (sold for about $1 billion). The fund typically does not comment publicly on ongoing tender processes.
CVC, represented by Rothschild Bank and Shimon Levy in Israel, appears less active in this tender.
Challenges in a Small Market
Yad2, managed by Tomy Schoenfeld, generates an estimated NIS 300 million in annual revenue, with operating profit (EBITDA) around NIS 140 million. KKR is seeking roughly 28 times EBITDA, a standard multiple for similar companies. Sources indicate that significantly lower offers may lead KKR to retain the company and consider a public listing on the Tel Aviv Stock Exchange.
The strong interest from foreign funds may signal a return of international investors to Israel after a two-year hiatus due to regional instability. However, risks remain, particularly in realizing returns within 4–5 years given the limited growth potential in a small market where Yad2 already holds a dominant position.
Yad2, a platform for classifieds in real estate, automotive, and general commerce, was acquired by Axel Springer in 2014 from Shaul Elovitch’s Walla for 806 million shekels. KKR took control in March 2025 following the split of Axel Springer’s business, in which the media giant’s shareholders retained the traditional print operations while KKR assumed the digital assets, including Yad2.
