Aryt Industries, one of the Tel Aviv Stock Exchange’s strongest defense sector performers over the past two years, has launched a strategic move to take its subsidiary, Reshef Technologies, public.
Aryt, led by CEO Haim Stapler, is seeking a valuation of 4.3 billion shekels ($ 1.33 billion) for Reshef — a figure that would make the IPO the largest on the Tel Aviv exchange in the past year. Reshef has committed to distributing 75 percent of its profits as dividends.
Under the offering, Aryt will sell 10 percent of Reshef’s shares, while Reshef will issue an additional 10 percent to the public. Proceeds will be used to expand Reshef’s production of electronic fuzes and develop new products. Phoenix Underwriting will lead the offering.
Aryt is controlled by businessman Zvi Levy, who holds 46.2 percent. Through Reshef Technologies, Aryt manufactures electronic fuzes that enable controlled detonation in artillery shells, tank rounds, mortar munitions and artillery rockets. Aryt itself is traded at a valuation of 5 billion shekels.
Reshef ended the third quarter with 127 million shekels in sales, and posted revenues of 134 million shekels in October and November. Total sales for the first 11 months of 2025 reached 416 million shekels, with full-year revenue expected to hit 497 million shekels.
The company’s order backlog stands at 1.028 billion shekels. Reshef’s profitability is high: in the first half of the year it reported 80 million shekels in net income on 155 million shekels in revenue, indicating annual profits could exceed 200 million shekels. In the same period of 2024, revenue totaled just 30 million shekels, with net income of 4.8 million shekels.
According to the prospectus, Reshef has successfully developed an Israeli-made battery for use in its fuzes, which passed live-fire testing. The battery is a critical and scarce component in the global market in which Reshef operates, with expected sales concentrated in India.
Reshef is also in an advanced stage of developing a fuze intended for drones and UAVs.