Strategic Stake Sold in Landmark IDF Projects
Veteran Israeli infrastructure and real estate group Shikun & Binui has sold 50% of its holdings in three major Israel Defense Forces infrastructure projects—Ofek Rahav, the ICT Campus, and the Intelligence Campus—to a new strategic partner.
These long-term concession projects, awarded by the Israeli Ministry of Defense, support the national plan to relocate key military operations to the Negev.
The sale was executed through the transfer of 50% of limited partnership rights in a specially formed vehicle that consolidated Shikun & Binui’s interests in the operating concessionaires. The transaction involved a sophisticated restructuring process, including regulatory clearances, senior lender approvals, and the implementation of a novel partnership structure.
These projects serve as a cornerstone of Israel’s national initiative to relocate critical IDF bases from central Israel to the Negev region.
Herzog advised on the transaction, led by partners Adam Eytan and Shira Margalit, with support from Gilad Eshed from the firm’s Finance practice. Fischer (FBC) and Meitar also advised on the deal.
