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, Experien

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."