Bezeq The Israeli Telecommunication Co. Ltd. (TASE: BEZQ) has appealed to the Supreme Court against one of the Restrictive Trade Practices Tribunal's conditions for the company's takeover of satellite broadcaster YES, formally known as DBS Satellite Services (1998) Ltd. Bezeq wants to lower the guarantee it must deposit from NIS 200 million to NIS 30 million.
Bezeq has filed the appeal even before the Supreme Court has heard the Restrictive Trade Practices Tribunal's appeal on the case and the objections of YES minority shareholder Eurocom Group to Bezeq's takeover of the company.
Bezeq said that it agrees with most of the terms of the takeover, after the Restrictive Trade Practices Tribunal dismissed most of the Antitrust Authority's arguments against the takeover. The court set a number of conditions for the takeover, including the deposit of a guarantee, which Bezeq is now contesting.
The guarantee is intended to ensure that Bezeq complies with the takeover terms, which include a commitment to a predetermined timetable for the establishment of a new telecommunications network that supports Internet protocol television (IPTV) service with unrestricted access. In other words, Bezeq allows equal access to its IPTV network by other communications providers on an equal basis and cannot discriminate in favor of its own subsidiaries.
Bezeq currently owns 49.8% of YES, Eurocom owns 30%, Polar Communications Ltd. (TASE: PLRC) owns 7.92%, Gilat Satellite Networks Ltd. (Nasdaq: GILT; TASE: GILT) owns 5.01%, and Lidan Ltd. owns 4.66%.
Published by Globes [online], Israel business news - www.globes-online.com - on April 26, 2009
© Copyright of Globes Publisher Itonut (1983) Ltd. 2009