At 90: Shlomo Eliahu Appointed Temporary CEO of Migdal Holdings

Shlomo Eliahu, the 90-year-old controlling shareholder of Migdal Holdings, has been appointed as the temporary CEO of the company, replacing Yossi Ben Baruch who resigned in April. Eliahu, who holds 45.5% of the company's shares, will assume his role today. The appointment comes amid frequent management changes at Migdal and unusual conflicts with the Capital Market Authority regarding corporate governance and the controlling shareholder's involvement in decision-making.

Shlomo Eliahu, the 90-year-old controlling shareholder of Migdal Holdings, has been appointed as the temporary CEO of the company, replacing Yossi Ben Baruch who unexpectedly resigned last April. Eliahu, who holds 45.5% of the company's shares, will assume his role today (Thursday). His son, Israel Eliahu, serves as chairman of the investment house Migdal Capital Markets and chairman of the investment committee of Migdal's proprietary portfolio. Prof. Ronni Gamzu continues as chairman of Migdal Holdings, Raviv Zoller serves as chairman of Migdal Insurance, and Ronen Agassi as CEO of Migdal Insurance. The appointment occurs against a backdrop of frequent management changes at Migdal — since Eliahu acquired control, eight CEOs and several chairmen have come and gone. The relationship between Migdal Insurance and the Capital Market Authority, headed by Amit Gal, has been marked by unusual friction over corporate governance and the extent of Eliahu's involvement in decision-making. Last June, the authority imposed a financial sanction of NIS 6.5 million on Migdal following an audit report for 2021-2024, which found deficiencies in the relationship between board members, camping, the chairman's exclusion from transactions, and inappropriate involvement by Eliahu. Gal also intervened in the composition of the board and the identity of the chairman, opposing Eliahu's intention to appoint Gamzu as a director and chairman of Migdal Insurance. Migdal's stock has risen 63% over the past 12 months, and the company is traded at a value of NIS 19.7 billion.