FIMI raises record $1.75 billion for largest fund in its history
Israel's biggest private equity firm exceeded its fundraising target despite nearly three years of war and continued geopolitical uncertainty.
FIMI has completed the fundraising for its eighth private equity fund, securing $1.75 billion, the largest fund in its history. According to the firm's announcement, investor demand exceeded $2.5 billion, allowing the fund to surpass its original target.
The fundraising marks another milestone for Israel's largest private equity firm. In 2020, FIMI raised $1.25 billion for its seventh fund. This year also marks the firm's 30th anniversary. Founded in 1996 by Ishay Davidi, who continues to serve as managing partner, FIMI now manages assets of more than $11 billion. Since its inception, it has raised approximately $6 billion across its investment funds.
In recent years, Davidi has repeatedly argued that the security situation and broader uncertainty in Israel have made it more difficult to execute acquisitions. Nevertheless, despite nearly three years of war and ongoing geopolitical tensions, the Tel Aviv Stock Exchange has continued to trade near record highs, notwithstanding the recent market pullback. FIMI was also able to complete its latest fundraising with support from both international and Israeli investors, with most commitments coming from existing limited partners.
"We are in the midst of an unprecedentedly challenging period, after almost three years of a prolonged and complex war, which has put the Israeli economy, companies, our managers and employees to a significant test," Davidi said in the announcement.
"Against this backdrop, our ability to generate record demand and deliver excellent returns for our investors, consistently placing FIMI among the world's leading funds, is a testament to the resilience of FIMI, its managers and employees.
"We will continue to invest in, improve and help Israeli companies grow and compete in both local and global markets. The knowledge, experience and deep partnership we bring will continue to create value for our investors, even during the most challenging times."
One of FIMI's most significant recent transactions is its agreement to acquire control of Zim together with German shipping company Hapag-Lloyd in a deal valued at $4.2 billion. However, completion of the transaction remains uncertain following opposition from senior government officials.
