CVC fund acquires 40% of Fibrotex for $350 million
CVC Capital Partners is acquiring a 40% stake in Fibrotex, a Petah Tikva-based company specializing in advanced camouflage technologies for military and special forces, for $350 million. The Bloom family, which currently holds all shares, will sell the stake and retain a 60% controlling interest. The deal was facilitated through CVC's Catalyst 3 fund, with Jefferies investment bank advising. The transaction values the company at $875 million, and CVC has an option to purchase the remaining shares if the family decides to sell within the next four years.
CVC Capital Partners is acquiring a 40% stake in Fibrotex, a Petah Tikva-based company, for $350 million. The deal is being executed through CVC's Catalyst 3 fund. The Bloom family, which currently holds all shares of the company, will sell the stake and retain a 60% controlling interest. The negotiations, led by Jefferies investment bank under Nati Ginor, lasted several months. Talks to bring in a partner began in April and were first reported by Calcalist. Fibrotex specializes in developing, manufacturing, and implementing advanced camouflage technologies for military, special forces, and police units. Its systems are designed to conceal soldiers, facilities, and vehicles using multispectral camouflage that operates across several radiation bands. The company's products include camouflage systems for tanks, armored personnel carriers, and command centers, materials with thermal camouflage capabilities, electromagnetic radiation-absorbing sheets, personal camouflage suits, and specialized clothing for elite units. According to market estimates, the company's 2025 revenues were between $130-150 million, with EBITDA in the tens of millions of dollars. 2026 results are expected to be significantly better. The vast majority of the company's sales are to the U.S. military. Four strategic entities and four large investment funds participated in the tender. CVC agreed to purchase a minority stake but received an option to buy the remaining shares if the family decides to sell within the next four years.