Medical cannabis company InterCure, chaired by Ehud Barak and led by chief executive Alexander Rabinovich, announced it had raised NIS 66 million to rehabilitate its facility at Kibbutz Nir Oz.[1] The announcement was made on 20 December 2024.[2] The company said the funding could rise to NIS 107 million to expand the facility with the Tkumah administration after the war.[2] It also obtained a binding commitment for a NIS 30 million loan from a leading Israeli bank, for up to 24 months.[2] The capital came from Rabinovich and two existing shareholders, Yaron Yakobi and Tzahi Hagag, who would each hold more than 5% of the company.[2] The private placement covered 7,349,896 shares at NIS 4.83 each.[2] Warrants could buy a further 7,349,896 shares at NIS 5.70 each.[2] The company said full exercise of the warrants could raise the proceeds to about NIS 77 million.[2] The placement was conditional on shareholder approval and other closing conditions.[2] The investment put InterCure’s market value at NIS 235 million.[1]
The facility at Kibbutz Nir Oz had been damaged in the October 7 attacks and was to be rehabilitated.[3] InterCure said the NIS 200 million production facility at Nir Oz was damaged on 7 October.[1] The facility produced half of the cannabis strains the company sells in Israel, its main market.[1] Under Israeli law the site is entitled to full compensation for direct and indirect war damage, including lost profits.[1] The company said it had received advance payments of tens of millions of shekels from the Israeli authorities.[1]
Revenue in the first half of 2024 was NIS 125 million, 40% lower than a year earlier.[1] It posted a loss of NIS 62 million for 2023 because of the damage.[1]
