Shikun & Binui CEO Highlights Strategic Shift and Calls for Better National Management

Amir Birman, CEO of Shikun & Binui, addressed key questions about Israel's real estate market, the company's energy sector exit, and its operations during an interview at the National Economic Conference hosted by Calcalist, Bank Leumi, and Clal. Birman explained that Shikun & Binui sold its energy arm to reduce debt by 5.5 billion shekels and refocus on its core business and value chain expansion, emphasizing that energy was not central to their operations.

Regarding the pending sale of the energy company to Generation, Birman expressed confidence the deal would close, citing good chemistry and regulatory compliance. He noted previous offers were rejected as the board believed the company was worth more. Birman also highlighted the company’s significant role in power plant construction, including a recent $1 billion contract for the OPC plant in Hadera, which he views as the start of further projects.

On real estate, Birman said Shikun & Binui holds historical land assets for tens of thousands of housing units and is preparing for large-scale development starting in 2027 in Ramat Efal, with sales expected next year. He acknowledged current market challenges but remains optimistic about long-term demand due to population growth. Birman stressed that strong, professional management is crucial for company and national value, asserting that Israel deserves better governance.

Reflecting on the company’s exit from Africa, including Nigeria, Birman said the decision was due to operational difficulties despite some value creation, with proceeds of over $80 million retained. He also addressed the fact that the controlling shareholder lives abroad but remains actively involved and committed to the company’s success. Finally, Birman sees significant growth potential ahead as Shikun & Binui moves from restructuring to active business development.