Idan Ofer has seen enough.
Israel’s richest man is exiting Zim Integrated Shipping Services as attacks on vessels in the Red Sea by Houthi rebels disrupted global supply chains but sent carrier profits, including Zim’s, soaring.
Ofer’s Kenon Holdings is selling approximately 30 million shares with an aggregate market value of $719 million in two blocks through J.P. Morgan and Citigroup, according to a notice posted by Zim (NYSE: ZIM) on its website Friday.
ZIM’s shares have appreciated by 260% in the past year.
Ofer, a longtime investor in Zim, spun off of Kenon from Israel Corp. in 2015. Kenon holds a 16.5% stake in Zim, which has a market capitalization of $2.86 billion.
Kenon six months ago sold $111 million in Zim shares, and signed an option to sell more shares representing an additional 4.2% of the company. The latter collar has been cancelled.
Record volume helped Zim post a profit of $1.53 billion in the third quarter from a loss of $2.2 billion a year ago, on revenues of $2.77 billion, up from $1.53 billion.
Shares of Zim closed 1.86% lower on Friday and were down 6.22% in pre-market trading Monday.
ZIM’s shares have appreciated by 260% in the past year.
Find more articles by Stuart Chirls here.
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