Electra Group acquired control in Afikim early in the year and now holds a fleet of some 1500 busses The company anticipates revenues of some NIS. 1.2 billion from public transport
Electra Group, under the management of Itamar Deutscher, is expanding its activities into the field of transport. The company announced that its subsidiary, Afikim, signed an agreement to acquire Egged Transport for NIS. 200 million. Once the transaction is completed, Electra will hold a fleet of some 1500 busses. Early in 2021 Electra acquired (51%) control in Afikim for a value of NIS. 154 million.
Afikim’s fleet includes some 950 busses and the franchise to operate five public transport service hubs across Israel. Egged Transport’s fleet contains 537 busses, and the franchise to operate five public transport service hubs. Egged accounts for some 760 drivers. The company’s 2020 turnover for public transport activities totaled some NIS. 350 million.
In addition to these two companies. Electra Group (+0.56% 179250) holds some 25% of Netiv La'ir (Path to the City Ltd). Electra Group estimates that the scope of revenue from this field may reach more than NIS. 1b.
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“The third largest group in the transportation market”
Electra Group currently operates in five sectors: infrastructure and building projects in Israel; infrastructure and building projects abroad; operation, service and maintenance; entrepreneurial real estate development and execution; and franchises. The company views transportation as one of its prime growth drivers as a result of privatization processes in public transport coupled with massive investments in transportation projects such as the Metro and others which are anticipated to expand the scope of public transport in Israel.
Itamar Deutscher, Electra Group CEO: “This transaction is a direct continuation of the acquisition of control in Amnon Mesilot Ltd, which includes Afikim, the company through which Electra entered the transportation sector. Electra sees this sector as a significant driver of growth in the coming years. Acquiring Egged Transport effectively makes Electra Afikim the third largest player in Israel’s transport market, with a fleet of some 1500 buses and a scope of revenue of some NIS. 1.2 billon. We intend to continue expanding this area of activity towards positioning Electra as one of the largest transportation operators in Israel.”