Shikun & Binui Energy Offers Nearly 7 Million Shekels to Retain Executives Ahead of Sale

Shikun & Binui Energy is preparing to grant its senior executives a one-time bonus totaling nearly 7 million shekels to ensure their retention until the completion of the company's sale to PowerGen. The company also plans to accelerate the vesting of stock options for these executives, allowing them to exercise their options as part of the transaction. This move requires approval from the shareholders' meeting.

The bonuses, including similar but smaller grants to other employees, aim to maintain managerial and organizational stability during the transition. CEO Yuval Skornik, who has led the company for the past two years, will receive a bonus and an increase in his maximum bonus cap from nine to 10.5 monthly salaries, raising his annual compensation to approximately 4.8 million shekels when combined with the accelerated options.

This compensation adjustment coincides with the recent 4.45 billion shekel acquisition deal by Generation Fund, which outbid Keystone Infrastructure Fund. The transaction, signed at the end of last month, will also be presented for shareholder approval. The company highlights that the merger offers nearly a 13% premium over the average stock price in the month before the deal was approved, promising to maximize shareholder value.

The bonuses and accelerated options are part of Shikun & Binui Energy's strategy to ensure a smooth and effective transfer of control to the new owners, supporting the company’s operational continuity during the sale process.