US convenience store mega-chain 7-Eleven is coming to Israel after signing a deal with Electra Consumer Products to open hundreds of stores over the next three years.
However, unlike other locations, the Israeli sites will be closed on Shabbat, the Jewish day of rest, from Friday evening until Saturday night.
Under the terms of the deal, Electra will invest NIS 60 million ($18.59 million) in setting up stores by the end of 2024, with the first outlet opening in Tel Aviv in 2022, the company said in a statement Tuesday.
The deal is for 20 years with the option to extend it to 50. After a one-off unspecified payment, Electra will then pay a monthly percentage of the stores’ income to 7-Eleven.
Electra said the stores will at first be opened in city centers, office areas and other places where there is a large movement of people.
Electra CEO Zvika Schwimmer said the 7-Eleven stores will have an advantage over existing Israeli convenience stores and mini-markets by offering fast food, hot drinks and other unique items.
“I am sure that the shopping experience at 7-Eleven will be different and special for the Israeli consumer,” he said.
Schwimmer told the Globes financial news site that he had “received thousands of inquiries from franchisees and grocery store owners who want to convert their stores.”
With its “flourishing population and economic expansion,” Israel presents the ideal location for 7-Eleven to expand, 7-Eleven president and CEO Joe DePinto said in a statement.
The deal came in the wake of a memorandum of understanding signed between the companies in November 2020.
7-Eleven, with its catchphrase “Oh Thank Heaven For 7-Eleven,” has 77,000 stores in 18 countries.
Appliance maker Electra Consumer Products has been building its food division and in May acquired control of the Yeinot Bitan supermarket chain, which has around 200 stores across Israel.