The wave of tech IPOs in 2020-2021 brought to the Tel Aviv Stock Exchange (TASE) dozens of companies with big dreams, most of which have disappointed investors.
In the case of Quicklizard (TASE: QLRD), despite a sluggish start, the story has a positive ending. US private equity firm Riverwood Capital is buying Quicklizard for NIS 186 million, reflecting a 30% premium on yesterday's market price.
When the deal is completed, subject to regulatory conditions, the Israeli company will become a fully-owned subsidiary of Riverwood and will delist from the TASE.
Based in Petah Tikva, Quicklizard, led by cofounder and CEO Pini Mandel, develops pricing software that analyzes information from a variety of sources using an engine with AI capabilities.
This allows manufacturers and retailers to automate and optimize the pricing system across all marketing and distribution channels.
Those who purchased the company's stock in the IPO four years ago are more or less breaking even.
Stock soared
Following the report on the sale, Quicklizard's stock soared about 20% today, completing an annual jump of almost 50% to a market cap of NIS 143 million, which was close to the transaction price. Since May 2023, the stock has jumped 250%, amid investor enthusiasm for the AI field in which it operates.
Quicklizard raised NIS 45.5 million in its TASE IPO in February 2021 and fell sharply thereafter before recovering over the past year.
In the first six months of 2024, the company had revenue of NIS 13.6 million, up 40% from the corresponding period of 2023 and a net loss of NIS 5.6 million, following a net loss of NIS 10.7 million in full year 2023.