Tikshoov, Israel's largest call centers company, will compete for the acquisition of Bezeq OnLine, from the Bezeq group. Market sources say that the main interest in the auction will come from other call centers companies, among them Babcom Centers and Teleall.
Bezeq OnLine was set up to provide call center services to the Bezeq group, but in fact this is a minor part of its activity. It is currently a profitable company after undergoing streamlining in the past two years. In the past, Bezeq subsidized its business.
Bezeq OnLine is on Bezeq's books at a value of NIS 35 million, and the question is whether this will be Bezeq's minimum asking price or whether it will be open to negotiation.
The information room for the auction has not yet been opened, but the sale process should be short and simple since the deal is not a very material one for Bezeq, which wants to sell the company because its business is not synergetic with the group.
Since Tikshoov is Israel's largest call centers company, the Antitrust Authority may refuse to allow it to buy Beezq OnLine. Whether or not it grants a permit will depend on how it views the market: whether it will look at the total number of call center personnel, whether there are barriers to entry to the market, whether the market is regarded as concentrated, and so on.
Bezeq OnLine and website Walla! are two Bezeq group companies that the Bezeq board seeks to sell, in line with a strategy of focusing on telecommunications. While Bezeq Online is undoubtedly not a natural fit for the Bezeq group, as far as Walla! is concerned there are those who believe that in certain respects it is worthwhile having as part of the group.
Bezeq OnLine employs 1,500 people. Its head office recently moved from Kiryat Malachi to Kibbutz Revadim.
Published by Globes [online], Israel business news - www.globes-online.com - on July 5, 2018
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