Rami Levy Real Estate Completes Subsidiary Merger and Expands Holdings
Rami Levy Real Estate completed its merger with subsidiary S.B.H., expanded its contracting operations with the acquisition of Reshit, and secured a massive supermarket lease in Mazkeret Batya.
Rami Levy Real Estate has completed its merger with its fully owned subsidiary (100%), S.B.H. Shaar LeJerusalem Ltd., according to a report submitted to the Tel Aviv Stock Exchange. Following the move, the subsidiary will be struck off the Registrar of Companies without liquidation, and all its business activity, assets, and liabilities will be transferred in their current state to Rami Levy Real Estate.
S.B.H. operates in the real estate sector in Israel and holds a 33.6% stake in the Vision project (Southern Gate). The company's board of directors, which approved the merger in late June, determined there is no concern that the move will impair the company's ability to meet its obligations to creditors.
In late August, Rami Levy decided to increase its foothold in the real estate market despite the slowdown period. The company signed a binding agreement to acquire a controlling stake in the private contracting firm "Reshit Construction and Project Management," which holds a high classification of C-5.
Under the agreement, Rami Levy Real Estate will hold 80% of the contracting company's share capital in exchange for paying their par value. Simultaneously, Rami Levy will provide the acquired company with a shareholder loan of 13 million NIS (at prime interest plus 1.5%), which will be used almost entirely to repay its debts and obligations to banks, tax authorities, and employees, as well as to lift existing liens.
Meanwhile, former football star Eran Zahavi and his business partner Avi Aviv signed a major new deal at their commercial complex in the Mazkeret Batya employment zone, under which Rami Levy will lease space in the project. The project is currently undergoing accelerated development and construction ahead of occupancy.
Rami Levy's retail chain will lease an area of approximately 3,500 square meters to establish a massive supermarket. Occupancy is expected to take place in early 2027, marking a significant milestone in the expansion of Zahavi and Aviv's business activity in the township.
