Electra Group is expanding its activities in transportation: acquieres Egged Transport for NIS 200 million

The Electra Group, managed by Itamar Deutscher, is expanding its activities in the field of transportation. The company announced that Afikim, the subsidiary, has signed an agreement to acquire Egged Transport for NIS 200 million. Upon completion of the transaction, the Electra Group will have a fleet of approximately 1,500 buses. At the beginning of the year, Electra acquired control of Afikim (51%) at a company value of NIS 154 million.
Afikim has a fleet of about 950 buses, and has franchises to operate five clusters of service lines on public transportation throughout the country. Egged Transport has a fleet of 537 buses, and has concessions to operate five clusters of service lines on public transportation. Egged Transport has about 760 drivers and the company's turnover in 2020, due to public transportation activity, was about NIS 350 million.
In addition to these two companies, the Electra Group owns 25% of Netiv La'ir. The Electra Group estimates that the volume of revenues from the field may reach more than NIS 1 billion.
Electra Group currently operates in five sectors: projects for buildings and infrastructure in Israel; Projects for buildings and infrastructure abroad; operation, service and maintenance; development and construction of real estate in initiation; And the franchise sector. The company sees the field of transportation as one of its growth engines, among other things against the background of the privatization processes of public transportation and the massive investments in transportation projects such as the Metro and other projects that are expected to increase the volume of public transportation in Israel.
Itamar Deutscher, CEO of the Electra Group, stated that "this transaction is a direct continuation of the acquisition of control of Amnon Mesilot, which includes Afikim, through which Electra entered the field of transportation, which it marked as a significant growth engine for the coming years. The acquisition of Egged Transport actually makes Electra Afikim the third largest player in the transportation market in Israel, with a fleet of about 1,500 buses and a revenue rate of about NIS 1.2 billion. We intend to continue to expand this activity, in order to position Electra as one of the largest transportation operators in Israel. "