Shikun & Binui of the Arison Group, Dune International (Dune) led by Mickey Dayan, and Apollo Global Management Have Reached an Understanding Regarding Their Holdings in ADO Group (ADOG); the Three Shareholders Intend to Leverage Their Expertise, Experience and Resources to Further Develop and Enhance ADO's Operations

AIRPORT CITY, Israel, September 24, 2017 /PRNewswire/ -- Shikun & Binui Ltd. (TASE: SKBN.TA), a global construction, infrastructure and real estate company, announced today that, Following the immediate reports regarding ensuing negotiations between Shikun & Binui, Dune and Apollo have reached an agreement with respect to their holdings in ADOG. The agreement regulates the rights of each party as shareholder in ADOG, which will be led and controlled by Shikun & Binui.

The agreement aims to further develop ADOG's activities by utilizing the experience and resources that stand at the disposal of each party, including continued enhancement of ADO Properties' operations in Berlin; the agreement also enables the parties to divest their current holdings in ADOG, in order to increase public holdings and improve liquidity.

The agreement will come into effect pending several conditions, including a successful acceptance of tender offer in ADOG, and obtainment of relevant approvals from regulatory authorities both in Israel and Europe; while there is no certainty that these conditions will be met, Shikun & Binui expects to record a profit currently estimated at 300-380 million NIS, once the agreement becomes effective.

Moshe Lahmani, Chairman of Shikun & Binui: "We are happy to have come to terms with Dune and Apollo regarding our holding in ADOG. Shikun & Binui believes that this understanding will enable continued development of ADOG's activities, led by the experience Shikun & Binui has gained in Berlin, and leveraging the knowhow and additional resources of Dune and Apollo. We see significant potential in the strong partnership that has been created, and have faith in the parties' ability to work together to advance strategic and business moves, while enhancing the company's operations and generating value for all shareholders."

Mickey Dayan: "We welcome the collaboration with Shikun & Binui and Apollo, and hope to leverage our knowledge of the German real estate market to further growth in ADO. The strong macro indicators in Berlin continue to support the continued growth potential of Berlin's real estate market. ADO is now embarking on a new journey equipped with a strong management structure, well-established growth support platform and new shareholders that wish to contribute and further appreciate ADO for the good of all parties involved."

About the Shikun & Binui Group

The Shikun & Binui Group is a global construction and infrastructure company that operates in Israel and internationally in seven segments: 1) infrastructure and construction contracting outside of Israel; 2) infrastructure and construction contracting within Israel; 3) real estate development within Israel; 4) real estate development outside of Israel; 5) renewable energy; and 6) concessions. The Group's activities focus on large, highly complex projects carried out for entities in private and public sectors with a focus on sustainability.

This summary announcement was prepared solely for the convenience of the reader and does not replace Shikun & Binui Ltd.'s (hereafter – "the Company") full report.  The information contained in this announcement is, by its nature, incomplete. All of its contents are provided as a supplement to the Company's report, and are subject to the declarations therein stated.  This announcement includes forecasts, assessments, estimates and other information relating to the Company or its subsidiaries, or to other parties or to future events and matters, the extent of whose realization is not certain and is not under the sole control of the Company (forward-looking information, as defined in the Securities Law-1968).  The key facts and data serving as the basis for this information are facts and data, among others, related to the current status of the Company and its businesses, facts and data relating to the current status of the operating segments in which the Company engages in its areas of operation, and other macroeconomic facts and data known to the Company on the preparation date of this presentation.

It is understood that forward-looking information does not constitute a fact and is based solely on subjective assessments.  Forward-looking information is uncertain and for the most part, is not under the Company's control.  The realization or non-realization of the forward-looking information will be influenced, among others, by the risk factors that characterize the Company's operations, as well as developments in the general environment and external factors that impact the Company's operations.  The Company's future results and achievements could differ significantly from those presented in this presentation.  The Company is not obligated to update or modify the said forecast or assessment, and is not obligated to update this announcement.  This announcement does not constitute an offer to purchase the Company's securities or an invitation to receive such offers.  An investment in securities in general, and in the Company in particular, carries risk.  One must take into account that past data do not necessarily indicate future performance.

IR Contacts:

Company                                                                                                       
Inbal Uliansky                                                                        
+972(3)6301058                                                         
[email protected]                                                                                                

External IR

Ehud Helft
GK Investor Relations
+1-617-418-3096
[email protected]    

SOURCE Shikun & Binui