Partner bids NIS 187m to buy Xfone

Partner

Partner is committed to retaining 70% of Xfone's employees for at least one year.

Israeli telecom company Partner Communications Co. Ltd. (Nasdaq: PTNR; TASE:PTNR) has announced a bid of NIS 187 million to buy telecom operator Xfone, subject to due diligence. Partner is making the bid even though claims it has not received all the required information about the company, and there is little chance that the regulators will approve the acquisition.

Partner is committed to retaining 70% of Xfone's employees for at least one year and injecting NIS 3 million into the company for a four month intermediary period.

Market sources believe that Partner's bid is designed to be a counterweight to the bid by Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) to buy Xfone, which also is highly unlikely to receive the regulators' permission to make the acquisition.

Widely Mobile, owned by Shimon Reichman is also set to bid for Xfone and wants to turn it into a mobile virtual network operator (MVNO) on the Pelephone network.

Published by Globes, Israel business news - en.globes.co.il - on August 26, 2021

Copyright of Globes Publisher Itonut (1983) Ltd. 2021

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