FORMULA SYSTEMS (1985) Business Summary

Formula Systems (1985) Ltd. operates as a global IT solutions holding company, generating revenue through a diversified portfolio of subsidiaries specializing in software consulting, proprietary products, and managed services. Its business model is anchored in high-margin software licensing, recurring maintenance fees, and long-term professional service contracts. The company’s primary segments include IT Services (via Matrix IT), Enterprise Mobility and Integration (via Magic Software), and Payroll/HR Management (via Michpal). Following the strategic sale of a majority stake in Sapiens International to Advent International in late 2025, the company has pivoted toward a more streamlined focus on IT infrastructure and digital transformation services. Formula competes with global and regional players such as DXC Technology, Tietoevry, One Software Technologies, and Malam-Team, positioning itself as a strategic aggregator that leverages deep vertical expertise in the Israeli and European markets to scale niche software providers. The leadership team is led by CEO Guy Bernstein, who has steered the company since 2008 and concurrently serves as CEO of Magic Software, bringing a track record of scaling Israeli tech firms globally. He is supported by CFO Asaf Berenstin, who manages the group’s complex financial consolidation, and CTO Tammy Ohana Koll, who oversees technological strategy across the portfolio. The company was founded in 1985 by brothers Dan and Gad Goldstein and is currently controlled by Asseco Poland S.A., with Marek Panek serving as Chairman of the Board. The board also features prominent industry figures such as Rafal Kozlowski and Karolina Rzonca-Bajorek, ensuring a blend of local operational agility and the strategic backing of one of Europe's largest IT federations.