One of Israel’s most iconic agricultural companies could soon have a new owner. Haoyu Wang, a 35 year old Chinese billionaire and head of irrigation firm DAYU, is in talks to acquire Netafim at a reported $1.4 billion valuation. The deal would see Wang team up with investment fund HOPU to buy control from Mexico based Orbia, with Wang expected to finance the purchase from his personal wealth.
Netafim is not just another company. Founded by Kibbutz Hatzerim, it pioneered drip irrigation technology and became a global leader in water efficient farming. It currently carries about $400 million in bank debt and generates roughly $250 million in annual sales in the United States alone. While the proposed price is higher than a previous Israeli bid, it is still below the $1.8 billion valuation Orbia paid back in 2017.
The potential sale raises bigger questions than just numbers. Kibbutz Hatzerim, which still holds 20% of the company, has openly preferred an Israeli buyer, though negotiations with a local fund collapsed. The main hurdle now may be US regulators, given Netafim’s significant American operations and the geopolitical sensitivity around Chinese acquisitions. If approved, the move would mark a dramatic shift, placing a flagship Israeli water technology company under Chinese control for the first time.
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