Company: INCR
Filing Date: 2025-05-01
Form Type: 20-F
Source: 0001641172-25-007971
Chunk: 200

Company: Intercure Ltd.
Filing Date: 2025-05-01
Form: 20-F
Item: Item 18
Chunk 200
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 has an advanced propagation and growing facility which is located in Kibbutz Beit HaEmek,    
        in which it develops and grows a wide variety of unique strains of medical cannabis (hereinafter:
                   the “Northern Facility”). As of the reporting date, the Northern Facility is          
          spread over an area of approximately 5 dunams, whereby Canndoc has the right of first refusal  
         regarding an option to expand the area of the Northern Facility to a total area of approximately
         16 dunams. The Northern Facility includes a greenhouse for propagating, growing and florescence,
           as well as a processing facility and operational areas. During the reporting period, Canndoc  
           performed extension, upgrade and adjustment works on the Northern Facility, for the purpose   
             of ensuring the Northern Facility’s compliance with the high-quality standards required     
             to export from Israel and adjusting the quality of the products to the level required in    
            Israel and in the target countries. The performance of the upgrade works was concluded in    
           the fourth quarter of 2019; On May 21, 2020, an addendum to the agreement was signed, which   
                 formalized, inter alia, the investment in the Company’s facility in Beit HaEmek.        
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On January 1, 2023, a separate legal entity was established, and from this date, the activity of the Northern Facility is executed under this entity.
 
 
F-46
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Note 16 – Commitments, Charges and Contingent Liabilities (Cont.)
 

  2.                                                   On                                               
           April 23, 2019, Canndoc signed a binding agreement with an Israeli corporation which holds   
        agricultural areas in Kibbutz Nir Oz, in the Western Negev, for the construction of a production
            complex with maximum production potential of up to 88 tons of medical cannabis per year,    
              which will operate in addition to the Northern Facility (hereinafter: the “Southern       
          Site”). During 2021, the Company completed the investment in the construction of facilities   
                            for the purpose of growing and production of inventory.                     
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On May 26, 2020, Canndoc announced the receipt of a license from the medical cannabis unit at the ministry of health (the “medical cannabis unit”), for the engagement in and holding of a dangerous drug, in accordance with sections 6 and 7 of the dangerous drugs ordinance (new