In 2005 Elron distributed a dividend of $3 per share. To date, Elron has distributed cumulatively a dividend of approximately $8 per share. Currently we do not have any fixed dividend policy. The declaration of dividends is determined by the board of directors taking into consideration Elron's financial status, profitability, realization of assets and investment requirements.

What are Elron's accounting principles?

Following Elron's voluntary delisting from NASDAQ on January 6, 2010, Elron has changed its financial reporting principles from U.S. generally accepted accounting principles ("U.S. GAAP") to the International Financial Reporting Standards ("IFRS"). As permitted under the Exchange Act and the regulations promulgated thereunder, Elron's financial statements submitted to the SEC are prepared in accordance with IFRS (without reconciliation to US GAAP).

Who is Elron's external auditor?

Kost Forer Gabbay & Kasierer & Co. (member of Ernst & Young Global).

Does Elron have a Code of Ethics?

Yes. You can locate it here.

What is the nature of Elron's activity? Is it a Venture Capital firm?

No, Elron is not a Venture Capital firm, but rather an operating holding company, with a focus on technology. Elron conducts its business through its group companies, and is directly involved in policy and strategic planning, marketing strategy, senior management selection, approval of investments and budgets, financing policy and overall ongoing monitoring of company performance. Elron has wide-ranging interests primarily in medical devices, information and communications technology and clean technology. Elron has holdings in both publicly traded and privately held companies, at various stages (early, intermediate and mature). Elron's goal is to pursue its role as one of Israel's high-tech pioneers and leaders by identifying, creating and building leading-edge Israeli technology companies with global potential.

What is Elron's investment strategy?

Elron's investment strategy focuses on the following main aspects:

Innovation - Elron looks for companies with cutting-edge technologies, preferably platform technologies, rather than one-product companies.
Potential - Elron focuses on companies that address global, sizeable and high growth markets.
Uniqueness - Elron requires strong IP or unique know-how in order to ensure high entry barriers.
Influence - Elron seeks a lead shareholder position which would enable an active and supporting role, and would be instrumental in building value.
Execution - Elron pursues strong, knowledgable and capable management teams.

What is Elron's track record?

A pioneer in Israeli high-tech since 1962, Elron has been instrumental in the success of high-growth enterprises in fields such as medical devices and imaging, advanced defense electronics, information technology, software and services, telecommunications and semiconductors. Elron has made a name for itself in Israeli and global technology and capital markets through an impressive track record of identifying and building successful companies.

A partial list includes: Given Imaging (NASDAQ: GIVN), Elbit Systems (NASDAQ: ESLT), Partner Communications (NASDAQ: PTNR), Netvision (TASE: NTSN), Orbotech (NASDAQ: ORBK) and Zoran (NASDAQ:ZRAN), among others. Elron's exit record throughout the last 10 years totaled over $2.2 billion, of which Elron's proceeds were over $900 million.

What kind of added value does Elron provide its group companies?

Elron acts as a founding or major shareholder in almost every one of its group companies. This means that Elron's group companies benefit not only from Elron’s strong financial backing, but also from its extensive expertise in all aspects of establishing and developing profitable technology companies - capital raising, strategic planning, mergers and acquisitions, management and operations. Furthermore, Elron's unique positioning as an operating holding company (rather than a VC), combines with its tradition and extensive track record, enables a long term view, peace of mind and support for its group companies.

What is RDC?

RDC: Rafael Development Corporation Ltd., was established in 1993 by Elron (holding 50.1%) and RAFAEL, the principal research and development entity of the Israeli Ministry of Defense. Based in Tel Aviv, Israel, RDC is a business development and holding company dedicated to creating valuable commercial applications for civilian use, based on military technologies developed within RAFAEL during the last four decades. RDC combines RAFAEL’s scientific know-how, advanced research and development capabilities, technological innovation and resourcefulness with Elron’s strong financial base, access to capital markets, international expertise and experience in building companies. An example of RDC's track record is the establishment of Given Imaging (NASDAQ: GIVN).

What are Elron's main assets?

You can find a list of Elron's main holdings here.

Elron is owned by the Discount Investment Corporation Ltd., which is a part of the IDB group. What is the nature of these companies?

Elron has become a main high-tech arm of IDB Holding Corporation Ltd. (TASE: IDBH). Discount Investment Corporation Ltd. (TASE: DISI), which is a part of the IDB holding group, owns approximately 50.5% of Elron.
IDB is one of the largest and most diversified holding groups in Israel with interests in insurance, capital markets, communications, technology, industry, real estate development, retail and tourism.

Why is Elron based in Israel?

Elron is dedicated to harnessing the unique technological creativity and entrepreneurial spirit of Israel’s fertile high-tech arena, to create companies that clearly meet identified global needs. Elron companies have surged ahead by leveraging Israel’s unique human capital, vast research and development resources, and the world-leading achievements of Israel’s universities, scientific institutions and defense laboratories. Through a combination of major capital investment, as well as strategic, entrepreneurial, managerial and financial support, Elron helps transform growing Israeli ventures into profitable market leaders.