Afcon Holdings has secured a $24 million contract to build battery-based energy storage systems in Israel, as the company moves to strengthen its position in a rapidly growing sector.
The project, with a total capacity of about 45 megawatts, will be carried out by a wholly owned subsidiary and is expected to be completed in the second half of 2026. The systems will be installed at multiple sites across the country and will include maintenance and warranty services.
The deal marks a significant expansion of Afcon’s activity in energy storage, an area the company says it has identified as a key growth engine amid rising demand for diversified and resilient energy sources.
“Winning a storage project of approximately 45 megawatts represents another significant step in deepening our activity in the energy storage sector,” CEO David Hareli said. “We see enormous potential in this field and view it as one of the group’s key growth engines over the coming decade.”
Hareli added that the company aims to expand its footprint in the sector and “capture a meaningful share of this developing market.”
Alongside the new contract, Afcon reported it has repaid about 57 million shekels in Series D bonds, part of a broader effort to reduce debt and lower financing costs. “Reducing the group’s debt from its own financial resources demonstrates its financial strength,” Hareli said.
Afcon, traded on the Tel Aviv Stock Exchange, provides engineering and technology solutions across sectors including energy, infrastructure, communications and defense. The company has increasingly focused on renewable energy, storage solutions and electric vehicle charging as part of its long-term growth strategy.
The latest contract comes as global demand for energy storage continues to rise, driven by the expansion of renewable energy and the need to stabilize power supply.
First published: 09:21, 04.06.26