Company: INCR
Filing Date: 2025-05-01
Form Type: 20-F
Source: 0001641172-25-007971
Chunk: 65

Company: Intercure Ltd.
Filing Date: 2025-05-01
Form: 20-F
Item: Item 4
Chunk 65
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 to the land are subject to regulatory approval”.
The Northern Facility
 
As noted above, we have rights to our production Northern Facility through a joint venture with Kibbutz Beit HaEmek, a kibbutz located in the northern region of Israel. Our relationship with Kibbutz Beit HaEmek is governed by a partnership agreement (the “Northern Kibbutz Agreement”, and “Northern Kibbutz Partnership”, respectively), entered into in May 2015. We hold 70% of the voting rights and rights to profits and losses of this partnership and the Northern Kibbutz holds the remaining 30% of such rights. The operation of the venture is done by an unregistered corporation according to the Northern Kibbutz Agreement. The Parties entered into an amendment agreement, pursuant to which the operations of the Northern Facility have been transferred to an “Agricultural Cooperative Organization” owned by the parties as mentioned above (70% Canndoc and remaining 30% of the Kibbutz).
 
Under the terms of the Northern Kibbutz Agreement, the Northern Kibbutz has made the facility available for use by the partnership. The Northern Kibbutz has rights to lease the site, which it holds pursuant to a lease dated April 26, 1990, between the Northern Kibbutz and the Land Administration. The initial term of the lease is forty-nine (49) years, ending on September 30, 2038 and is automatically renewed for an additional forty-nine (49) years subject to the terms of the lease. The Land Administration may cancel the lease with regard to areas of the site where protected natural resources are found. The Land Administration also has the right to pass, or allow another to pass, through the site, in the site or over the site, water, drainage, sewage or gas pipes, electric and telephone poles, electric and phone cables, or similar rights of way. The Northern Kibbutz has the right to make a claim for damages that occur as a result of the granting of such rights of way.
 
The Northern Kibbutz Agreement contains customary representations and warranties, ownership, confidentiality, noncompete, indemnification and insurance provisions. The Northern Kibbutz Agreement has an initial term of five years, with the addition of three extensions spanning five years each, which have been and are automatically renewed, subject to compliance by the parties with the terms and conditions of the Northern Kibbutz Agreement. The Northern