Kibbutz Mishmar HaEmek buying Bermad stake

Bermad
Bermad

The Jezreel Valley kibbutz is acquiring 20-25% of Kibbutz Evron's water solutions developer at a company value of NIS 450 million.

Kibbutz Mishmar HaEmek in Israel's Jezreel Valley has signed an agreement in principle to acquire 20-25% of the shares in water solutions company Bermad from Kibbutz Evron and Kibbutz Saar at an estimated company value of NIS 450 million, sources inform "Globes." Closing of the deal is slated to follow talks between the kibbutzim that own Bermad and investment companies in order to pay for some of the investment in Bermad.

Bermad, of which Kibbutz Evron owns 75%, manufactures hydraulic control products for water transportation systems. Bermad's solutions include leading global advanced water control technologies. The company's products are marketed through subsidiaries to 70 countries. According to Dun & Bradstreet's rating for kibbutz industrial companies for 2019, Bermad's annual revenue turnover is nearly NIS 500 million, largely from exports. The company has NIS 250 million in equity and 700 employees.

Kibbutz Mishmar HaEmek controls Tama Plastic Industry, one of the three leading and most profitable kibbutz industrial companies. The kibbutz, which is one of Israel's wealthiest kibbutzim, has made investments in various fields in recent years in order to diversify its sources of revenue. Tama Plastic's main specialty is packing and protective products for agriculture, including wrapping for hay and cotton, nets for various uses, thread and rope, houseware, and plastic products.

Dun & Bradsteet's figures show that Tama Plastic's annual revenue turnover is NIS 2 billion, mostly from exports. The company has nearly NIS 1 billion in equity and over 1,600 employees.

Published by Globes, Israel business news - en.globes.co.il - on July 24, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2019

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