Patrick Drahi has succeeded in his mission to take HOT Telecommunication Systems Ltd. (TASE: HOT) private. Yesterday's general shareholders meeting approved the merger deal for the company with a wholly-owned subsidiary of its parent company, Cool Holdings Ltd.
79.2% of shareholders with no personal interest approved the merger. Drahi, who owns 69.2% of HOT through Cool Holdings, will now buy the remaining shares in HOT at NIS 42 per share, giving a company value of NIS 3.06 billion. When the purchase is completed, HOT will be delisted from the TASE.
Drahi first invested in HOT several years ago, and gradually increased his stake in the company. He raised his offer for the minority holdings in the company several times. Cool Holdings' creditors initially opposed the move, but he reached a deal with them.
According to notices to the TASE by HOT, opponents of the deal were Psagot Investment House Ltd., Yelin Lapidot Investment House Ltd., Halman Aldubi Investment House Ltd., and Ubank Ltd.
HOT's share price rose 0.4% today to NIS 41.63, giving a market cap of NIS 3.02 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on November 26, 2012
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