Cellcom mulls acquisition of Golan Telecom
27 August 2015 |
Israeli mobile operator Cellcom is considering the possible acquisition of its rival Golan Telecom.
The announcement follows an invitation by Bank Rothschild, which represents Golan Telecom’s shareholders, about the possible sale of the company.
“There is no assurance that the company will make an offer to purchase Golan Telecom nor as to the execution of such a sale. Finally, the company can provide no assurances as to the impact of this sale, and any potential sale of holdings in, or assets of, Golan, on the parties’ agreements or the competitive environment in the market,” said Cellcom.
Cellcom and Golan Telecom entered into a 4G network-sharing deal in May 2014 in a move to cover Israel’s network. The two operators were also in an earlier national roaming agreement in 2013.
The potential deal is led by Rothschild Investment Bank’s Philippe Uzan and an associate of French technology entrepreneur Xavier Niel, Michael Golan’s partner at Golan Telecom. Golan Telecom is owned by Michael Golan and Xavier Niel.
The operator, which is planning to enter the TV market, has 850,000 subscribers to date since its launch in 2012.