AIRPORT CITY, Israel, Nov. 29, 2016 /PRNewswire/ -- Shikun & Binui Ltd. (TASE: SKBN.TA), a global construction and infrastructure company headquartered in Israel, today announced that a fully owned subsidiary of the company that holds (directly and indirectly) 100% in the concessionaire of the Cundinamarca project in Columbia, signed an agreement to sell a 50% share in the concessionaire to a fund managed by InfraRed Capital Partners Limited, an international investment fund. InfraRed is also a partner of the Company on the SH-288 Toll Lanes project in Huston, Texas and on the Gilboa Pumped Storage Project in Israel.
The consummation of the transaction is subject to various conditions precedent, including the approval of the senior lenders. Post-closing, Shikun & Binui SBI (a fully owned subsidiary of the Company) will continue to serve as the EPC Contractor for the project.
At closing, subject to the fulfillment of the conditions precedent, the Company is expected to receive a payment of approximately $60 million and to record in its financial statements a profit of approximately $35-40 million.
About the Shikun & Binui Group
The Shikun & Binui Group is a global construction and infrastructure company that operates in Israel and internationally in seven segments: 1) infrastructure and construction contracting outside of Israel; 2) infrastructure and construction contracting within Israel; 3) real estate development within Israel; 4) real estate development outside of Israel; 5) renewable energy; 6) concessions; and 7) water. The Group's activities focus on large, highly complex projects carried out for entities in private and public sectors with a focus on sustainability.
This summary announcement was prepared solely for the convenience of the reader and does not replace Shikun & Binui Ltd.'s (hereafter – "the Company") full report. The information contained in this announcement is, by its nature, incomplete. All of its contents are provided as a supplement to the Company's report, and are subject to the declarations therein stated. This announcement includes forecasts, assessments, estimates and other information relating to the Company or its subsidiaries, or to other parties or to future events and matters, the extent of whose realization is not certain and is not under the sole control of the Company (forward-looking information, as defined in the Securities Law-1968). The key facts and data serving as the basis for this information are facts and data, among others, related to the current status of the Company and its businesses, facts and data relating to the current status of the operating segments in which the Company engages in its areas of operation, and other macroeconomic facts and data known to the Company on the preparation date of this presentation.
It is understood that forward-looking information does not constitute a fact and is based solely on subjective assessments. Forward-looking information is uncertain and for the most part, is not under the Company's control. The realization or non-realization of the forward-looking information will be influenced, among others, by the risk factors that characterize the Company's operations, as well as developments in the general environment and external factors that impact the Company's operations. The Company's future results and achievements could differ significantly from those presented in this presentation. The Company is not obligated to update or modify the said forecast or assessment, and is not obligated to update this announcement. This announcement does not constitute an offer to purchase the Company's securities or an invitation to receive such offers. An investment in securities in general, and in the Company in particular, carries risk. One must take into account that past data do not necessarily indicate future performance
SOURCE Shikun & Binui Ltd.