Eltek to build second facility in Israel
Eltek intends to apply to the Israel Land Authority ("ILA") for an allocation of land in the north of Israel where Eltek intends to build a second production facility.
The Ministry of Economics approved a recommendation to the ILA to allocate land in the north of Israel to Eltek without the need for a bidding process, a press release states. Such a recommendation exempts - for a max period of 24 months - from the requirement to acquire the land by means of a tender. The land development cost is expected at a 30% discount to prevailing market prices. Eli Yaffe, Eltek's CEO, commented: "We are considering expanding to a new and second advanced facility within a few years. This is a major part of our long term and strategic roadmap in order to grow and accelerate the expansion of our business." Eltek is at an early stage of this process and there can be no assurance that it will obtain all the necessary permits for a new plant from the ILA, or that it will be able to finance such project, the press release ends..