Electra Real Estate Ltd. — M&A Activity 2025

Dec 14, 2025

ELECTRA REAL ESTATE LTD

Company Number: 510607328

To:

Israel Securities Authority (www.isa.gov.il)

Tel Aviv Stock Exchange Ltd (www.tase.co.il)

Form No.: T053 (Public)

Sent to MAGNA on: 14/12/2025 Reference No.: 2025-01-099071

Immediate Report Regarding an Event or Matter Deviating from the Corporation's Ordinary Business

Regulation 36 to the Securities Regulations (Periodic and Immediate Reports), 1970

Tip: The results of an issuance must be reported in T20 and not in this form.

Reporting on the rating of bonds or the rating of ^a corporation must be submitted using form T125.

Delayed Submission Report

Nature of Event:

Entering into an agreement to sell a housing cluster in North Carolina held by the second housing cluster equity fund.

1. The company hereby announces that on December 11, 2025, it signed a deal with a third party for the sale of all rights in a housing cluster in Charlotte, North Carolina, USA (hereinafter: "the Asset"), which is held by the company's second fund for investments in US housing clusters and an American limited partner (LP), for a consideration (100%) of approximately USD 65.2 million. The asset, managed by the company as General Partner, was acquired in November 2018 for (100%) approximately USD 50.7 million and includes 318 housing units. The equity invested (100%) amounted to approximately USD 17.8 million. The free cash flow (100%) to be generated by the sale transaction amounts to approximately USD 21.7 million. Additionally, during the holding period, the asset paid distributions totaling approximately USD 13.8 million, so that in total the asset will provide its investors with cash flow of approximately USD 35.5 million up to the realization date, reflecting an annual return (IRR) of about 14.6% at the asset level and an equity multiple of 2. The original equity invested by the company (as a Limited Partner) in this deal was about USD 0.8 million, the free cash flow that will accrue to the company from the sale (in addition to ongoing distributions received during the holding period, about USD 0.6 million), amounts to about USD 1.6 million, and in total, the company will gain approximately USD 2.2 million in cash flow from this transaction.

As a result of this transaction, the company is expected to record a loss of approximately USD 1.5 million in its financial statements for Q4 2025. Completion of the transaction, subject to all precedent conditions under the sale agreement, is expected to take place in Q4 2025.

The information in this immediate report regarding the impact of the transaction on the company's financial results, the cash flow to be received, and the timing of the transaction's completion is forward-looking information based on the assumption of completion of the transaction with the third party as stated above, and is also based on the company's assumptions regarding costs related to the transaction, tax obligations, potential final price adjustments, and the timing of fulfilling the conditions precedent to completing the transaction. This information may or may not materialize, or may materialize differently than expected, among other things, if the company's assumptions change.

Presley_isa.pdf

Alt: Link to PDF file of the immediate report (Presley_isa.pdf)

2. Date and time the corporation first became aware of the event or matter:
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11/12/2025 at 18:00

3. If the report was delayed - Reason for delay:

1. On date and hour the impediment to report was removed:

__________ at __________

1. The company is a Shell Company as defined in the stock exchange rules.

Details of Authorized Signatories for the Corporation

No.	Name	Position
1	Gil Rushink	Chairman of Board
2	Amir Yaniv	CEO

Explanation: According to Regulation 5 to the Periodic and Immediate Reports Regulations (1970), ^a report submitted under these regulations must be signed by those authorized to sign on behalf of the corporation. Staff guidance can be found on the Authority's website: Click here.

Additional Information

Securities of the corporation are listed for trading on the Tel-Aviv Stock Exchange.

Short name: Electra Real Estate

Address: Yigal Alon 98, Tel Aviv, 6789141

Phone: 03-7101700 Fax: 03-7101720

Email: corpsecretary@ere.co.il Website: https://electra-re.com/

Electronic Signatory Information

This is an unofficial AI generated translation of the official Hebrew version and has no binding force. The only binding version is the official Hebrew version. For more information, please review the legal disclaimer.

Electronic Reporter Name: Wesley Eliezer

Position: Chief Financial Officer

Employer Company Name: Elco Holdings Ltd.

Address: Yigal Alon 98, Tel Aviv, 6789141

Phone: 03-6939678 Fax: 03-6939656 Email: eliv@elco.co.il

Previous names of the reporting entity:

[No previous names listed]