Delek Royalties is a special-purpose yield company, without a controlling sharholders, whose securities (shares and bonds) have been traded on the Tel Aviv Stock Exchange since 2018.
The company’s sole business is the holding of the right to receive overriding royalties in respect of oil and/or gas and/or other valuable materials derived from the share of various companies and entities holding oil and gas reservoirs both in Israel and elsewhere in the world.
The royalty is paid to Delek Royalties from the revenues of the body making the payment prior to deduction of royalties and payments of any kind, including operating expenses and investments, which is why it is termed an ‘overriding royalty’.
The business model of Delek Royalties produces significant value for its shareholders.
Delek Royalties is not an operational gas and oil company and does not bear any expenses and costs whatsoever in connection with the exploration, development and production of oil and gas assets.
Delek Royalties allows direct, marketable and low-risk exposure to the cash flow of gas and oil assets, while giving investors the opportunity to enjoy an annual dividend distribution.
It is the intention of Delek Royalties to grow and diversify its portfolio of assets through the purchase of additional royalties from producing oil and gas properties or properties in advanced development stages both in Israel and abroad.