AmTrust to invest in Israeli digital insurance co weSure

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US insurance and financial giant AmTrust is investing NIS 72.6 million in Israeli digital insurance company weSure Global Tech (TASE: WESR), at a major premium on the current market price. The two sides have signed a “significant private placement agreement.” weSure also controls Israeli traditional insurance company Ayalon.

After the announcement, weSure’s share price jumped 16%, giving a market cap of NIS 292 million. Over the past year, weSure’s share price has risen 81%, although the share price is still 70% lower than at its peak in May 2021, several months after its IPO.


AmTrust to invest NIS 35m in WeSure

WeSure completes acquisition of Ayalon insurance group

AmTrust will invest NIS 72.6 million in weSure in two stages. Initially NIS 16 million for a 5% equity stake and in the second stage, subject to Israel Securities Authority approval, AmTrust will invest an additional NIS 21 million, which will bring its holding to 10% (at a price of NIS 3 per share, significantly higher than the market price). AmTrust will also convert an existing loan of NIS 35.6 million into ordinary shares, based on an updated conversion price of NIS 4.8 per share, instead of the originally stated NIS 6.3 per share. Eventually weSure’s holding could reach 15.3%.

weSure says that this deal, which is strategic for it, will further strengthen WeSure Global Tech’s equity, reduce its financial leverage, and further enhance the cooperation with the strategic investor, AmTrust in the group’s activities in Israel and the US.

Published by Globes, Israel business news – – on July 9, 2024.

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