Generation Capital

Generation Capital raised 1.2 billion shekels in an institutional bond offering to fund its upcoming acquisition of Shikun & Binui Energy amid strong financial results.

Generation Capital advances a 4.5 billion shekel acquisition of Shikun & Binui Energy, aiming to create a dominant player in Israel's energy infrastructure amid regulatory scrutiny.

Generation Capital CEO Erez Balshe is confident in finalizing the 4.5 billion NIS acquisition of Shikun & Binui Energy despite regulatory scrutiny over market centralization and infrastructure bottlenecks.

Five of Israel's six major desalination plants shut down due to algae contamination. To restore drinking water supplies, the Water Authority offered private operators a temporary 50% tariff increase.

Shikun & Binui controlling shareholder Nati Saidoff sold a 4% stake for NIS 450 million, retaining 30.78% ownership. The stock rose 2.6% following the announcement, despite a decline in Q2 gross profit.

Investment fund Generation Capital concluded the second quarter of 2026 with a pre-tax profit of 826 million shekels. Cumulative profit for the first half of the year reached 1.05 billion shekels.

Shikun & Binui has established tiered penalties for withdrawing from the sale of Shikun Energy to the Generation fund. The compensation reaches 300 million shekels if the company accepts a competing offer from a major industry player.

Generation Capital has signed an agreement to acquire the energy arm of Shikun & Binui for 4.45 billion shekels. To secure regulatory approval, the parties have outlined a contingency plan involving asset swaps in power plants, including the Sharon region project, with the participation of Nofar Energy.

After beating the Keystone offer, Generation will acquire the energy activity of Shikun & Binui in a deal of up to 4.5 billion shekels, a deal that will significantly strengthen its position in the electricity market.