Media: Azerbaijan Investment Holding plans major acquisition in Israel

Azerbaijan Investment Holding (AIH) is conducting due diligence ahead of a planned purchase of a 30% stake in Israel’s desalination company IDE.

The value of the stake is estimated at $250–270 million, The Marker reports.

IDE is Israel’s largest desalination company and one of the largest globally. It has built all desalination plants in Israel except the Palmachim facility. Currently, IDE controls about 20% of Israel’s desalination market through its 50% stake in the Hadera desalination plant, with a capacity of 127 million cubic meters per year, and ownership of the Sorek 2 plant, which currently operates at 140 million cubic meters but is expected to reach 200 million cubic meters annually once construction of a second intake pipeline—delayed due to the war—is completed.

IDE is also building a desalination plant in Western Galilee with an annual capacity of 100 million cubic meters, scheduled for completion in 2027. According to Israel’s Water Authority, the plant’s capacity is expected to double in the future. Once the Western Galilee facility is completed and Sorek 2 reaches full capacity, IDE’s share of Israel’s desalination market is projected to rise to 45%.

IDE’s shareholders include businessmen Avshalom Felber and Amir Lang, insurance companies Clal, Ayalon, and Hachshara, the Meitav Dash investment house, and the pension fund for teachers and kindergarten educators.

If completed, the acquisition would mark Azerbaijan’s second major state investment in Israeli infrastructure. In the summer of 2025, Azerbaijan’s state oil company SOCAR acquired a 10% stake in the Tamar gas field for $1.25 billion.

By Jeyhun Aghazada