Electra Consumer Products (TASE: ECP), controlled by the Salkind family, has announced that it is going into solar power. The company, which is mainly known for the production and sale of electrical consumer goods, and which owns retail chains such as Shekem Electric and Mahsanei Hashmal, says that it will enter the solar energy equipment business in two ways.
Electra Consumer Product has signed an agreement with SolarEdge (Nasdaq: SEDG), under which a subsidiary company, Electra Solar, will sell SolarEdge's products for domestic solar systems in Israel, using SolarEdge converters and panels in all installations that it carries out, under the SolarEdge brand.
The company has also acquired control of Solar Sensei, which imports, produces and distributes equipment for solar power systems such as solar panels, converters, optimizers, and so on. Solar Sensei represents US solar panel company Sunpower Corporation in Israel. Electra Consumer Products and Solar Sensei have formed a partnership under the name of Electra Solar Equipment, which bought the assets and business of Solar Sensei and in which Electra Consumer Products holds 50.1%.
Electra Consumer Products said in its announcement that it expected the two deals to contribute annual turnover of about NIS 400 million within three years. The company's CEO Zvi Shwimmer said, "We intend to leverage our capabilities in, among other things, logistics, finance, marketing, sales, and service, to become, within a few years, a dominant player in Israel in solar power, which we see as complementing the company's consumer products business."
Electra Consumer Products' share price has risen 40% so far this year, although it has fallen back 9.3% in the past three months.
Published by Globes, Israel business news - en.globes.co.il - on November 1, 2021.
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