The possibility of the Tel Aviv Stock Exchange acquiring the Cyprus Stock Exchange (CSE) is at an advanced stage of consideration, according to a report in the Israeli financial newspaper Calcalist. As stated in the report, the Israeli stock exchange is planning to participate in the upcoming privatization tender for the CSE, with the estimated value of the acquisition ranging between 20 and 40 million euros.
According to information from Calcalist, the Tel Aviv Stock Exchange, under the leadership of Itay Ben-Zeev, is seriously considering the prospect of acquiring the Cypriot stock exchange, although no final decision has yet been made by management or the board of directors. The final decision on participation is expected to be made after the terms of the tender are published and the conditions set forth are evaluated. The Israeli report notes that other European stock exchanges, including the Athens Stock Exchange, may also express interest.
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The Goal
A key motivation for the potential acquisition is the Israeli stock exchange’s ability to gain access to the Eurozone and the European financial market. As Calcalist notes, the acquisition of the CSE would provide control over stock exchange infrastructure, trade clearing mechanisms, and access to a license to operate as a stock exchange within the European Union.
At the same time, the estimated value of the CSE, between €20 and €40 million, is considered relatively low, with the report noting that comparable stock exchanges in the Balkans and Eastern Europe have been sold for €50–60 million.
The Cyprus Stock Exchange is wholly owned by the Republic of Cyprus, with its annual revenue estimated, according to the report, at between €4 and €7 million. Limited trading volumes affect its profitability, and the Cypriot government is seeking, through privatization, to attract an international stock exchange operator or strategic investor to bolster its operations. In contrast, the Tel Aviv Stock Exchange recorded revenues of approximately €160 million and net profits of €51 million in 2025, while its market capitalization is estimated at €3.5 billion.
And what about the Athens Stock Exchange?
The article also makes special mention of the Athens Stock Exchange, which has been collaborating with the CSE since 2006 through a shared trading and clearing platform. According to Calcalist, this existing collaboration could be an advantage should it participate in the tender. As reported, the evaluation of bids will be based 70% on the financial offer and 30% on qualitative criteria. At the same time, as part of the privatization process, CSE employees are expected to receive severance packages.
Finally, the potential acquisition of the Cyprus Stock Exchange is linked to the new strategic plan presented by the Tel Aviv Stock Exchange in mid-September. The plan calls for the creation of a holding company, with the aim of facilitating acquisitions, attracting partners, and expanding into new areas of activity. The Israeli stock exchange is targeting annual revenue growth of between 15% and 18% through 2031, with the potential acquisition of the CSE forming part of its international expansion strategy.
