Company: INCR
Filing Date: 2025-05-01
Form Type: 20-F
Source: 0001641172-25-007971
Chunk: 193

Company: Intercure Ltd.
Filing Date: 2025-05-01
Form: 20-F
Item: Item 18
Chunk 193
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 16(5)), SPAC transaction (see Note 1B(1))
        and 3 additional transactions (uncompleted acquisition processes) which are in dispute. The  
        Company examined the total debts and loans, including its collaterals, other guarantees and  
          its legal stand and recorded a provision for an impairment in a total amount of NIS 27.6   
                               million, see also other expenses in Note 19D.                         
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During 2024, due to significant deterioration in the relationship, which was impacted by the war and the damages to the Southern facility, with one of its debtors, who is also a business partner, which included the termination of partnership a joint venture, the company classified the loan provided to the partnership to the joint venture to other receivables and recorded a specific provision for ECL of approximately NIS 14.4 million which was based on a comparative benchmarking analysis with the impairment rate of impaired debts used by non-bank credit institutions and included the examination of the total past-due amounts, including their collaterals, other guarantees and their legal stand.
 
Schedule of Provision for Impairment

Balance before provision for impairment    64,852    
Provision for impairment                  (23,995   )
Balance after provision for impairment     40,857    

C.     Other  
     payables:
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    Schedule of Other Payables
 
                                                   2024                   2023      
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                                                 December 31                        
                                                        2024        2023            
                                                 NIS in thousands                   
Accrued expenses                                       8,682                   6,386
Institutions                                          16,562                  27,351
Payroll and related liabilities                        5,665                   6,113
Short-term Lease liability                             4,789                   4,640
Deferred consideration due to acquisitions                 -                   4,080
Contingent liability (Note 16)                         3,670                   6,123
Others                                                 2,441                     459
Other                                                 41,809                  55,152
Payables                                                                            

F-39
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Note 13 – Financial Instruments and Management of Financial Risks:
 

A.    Financial  
     risk factors
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The Company’s activity exposes it to various financial risks, such as market risks (foreign currency risk, interest rate risk and price risk), credit risk and liquidity risk. The Company’s overall risk management plan focuses on activities to