Direct Finance buying control of Sigma City
Direct Finance, led by CEO Eran Golan, is expanding into real estate project finance. Its subsidiary signed an agreement to acquire 85% of Sigma City Real Estate Finance for NIS 34 million, with an additional NIS 29 million owner's loan, totaling NIS 63 million. Sigma City's managers will retain 15% and continue their roles.
Direct Finance, headed by CEO Eran Golan, is expanding its non-bank credit business into real estate project finance. Its subsidiary, Direct Finance Real Estate and Mortgages, signed an agreement to acquire 85% of Sigma City Real Estate Finance for NIS 34 million. Direct Finance will also provide an owner's loan of NIS 29 million, making its total commitment NIS 63 million. Sigma City's managers, Ori Dayan and Nathan Tubiana, will retain 15% and continue in their roles. The deal is subject to conditions, including a revised control permit from the Capital Markets Insurance and Savings Authority and approval by Sigma City's financing banks. Sigma City, founded in 2015, provides credit for residential real estate projects in Israel, including mezzanine finance for urban renewal. Its loan portfolio stood at NIS 153 million at the end of June 2026. This represents a different risk profile from Direct Finance's main vehicle loan and mortgage activity, as mezzanine finance carries higher interest and risk. Direct Finance's share price has risen 30% in six months, giving it a market cap of NIS 2 billion.