Shikun & Binui returns to the elevator sector by acquiring Naaman
Construction giant Shikun & Binui is acquiring control of the elevator company Naaman. The deal, valued at several tens of millions of shekels, will allow the company to reduce its reliance on external suppliers.
Shikun & Binui is set to own its own elevator company once again as it acquires control of Naaman. In the past, Shikun & Binui owned the major elevator firm Herut, but it was sold to competitor Electra. Since then, the company has relied on external suppliers for its projects, a dependency that this acquisition is intended to eliminate.
While Naaman is not a large firm, with the deal valued at several tens of millions of shekels, it represents a key move in a strategic plan led by CEO Amit Birman. The company aims to provide a broader range of services for its projects in-house rather than relying on third-party vendors.
Naaman is a long-standing company established in 1997 by Rami Naaman, operating out of Or Yehuda. Rami Naaman will continue to manage the business following the transaction. Under the agreement, Shikun & Binui holds an option to increase its stake to 100% of the company's shares in the future. As Naaman provides installation and maintenance services for all elevator types, the ongoing maintenance operations are expected to serve as an additional long-term revenue stream for Shikun & Binui.
