Discount Capital Invests Over $11 Million in Natan Group

Discount Capital, the investment arm of Discount Bank, is acquiring a 20% stake in Natan Group, a subsidiary of Brand Group, for NIS 41.4 million (approximately $11 million USD). The deal values Natan Group's operations at NIS 270 million (approximately $72 million USD).

Following the transaction, Brand Group will hold approximately 79% of Natan, Discount Capital will hold 20%, and Natan's founder and CEO, Shmuel Shilo, will retain 1%. This investment represents a significant valuation increase for Brand Group, which acquired control of Natan less than ten months ago for NIS 52 million (approximately $14 million USD).

Natan Group operates in the IFM (Integrated Facility Management) sector, providing services such as management, maintenance, cleaning, operations, and security for buildings and properties. The company employs around 3,400 people and manages approximately 6 million square meters of space. Its clients include luxury towers, Ben-Gurion University facilities, government complexes, security services in Ariel, Israel Electric Corporation facilities, and long-term rental housing projects.

The company has shown strong growth, with revenues projected to reach NIS 670 million (approximately $179 million USD) annually by the first half of 2026. Natan also holds a backlog of NIS 2.2 billion (approximately $587 million USD) in orders through 2030 and has recently secured several significant tenders.

Liran Giladi, Chairman and CEO of Brand Group, expressed pride in welcoming Discount Capital as a partner, believing they will contribute to Natan's continued growth. Hanoch Papushdo, Investment VP at Discount Capital, highlighted Natan's leading position in its industry and its strong management infrastructure.