مجموعة الاتصلات » telecom

Hot Mobile, Golan Telecom end special offers

ola — Wed, 04 Feb 2015 08:48:52 +0000

The veteran cellular operators’ shares responded with a surge.

Hot Mobile Ltd.) and Golan Telecom Ltd. have decided on a “ceasefire” in the cellular market price war. They have ended their recent new bargains that led tens of thousands of subscribers to abandon the veteran companies and switch to the newer ones.

In January, Hot Mobile offered a “couples bargain”, in which the company sold two lines for NIS 40 a month per cellular package for one year. Golan Telecom offered a second line for NIS 2 per month if the customer buys the first line for NIS 37, up to six lines. Both companies extended their bargains until last Thursday, in view of strong demand from customers, and completely halted the bargains at the beginning of this week.

As reported in “Globes” in mid-January, the two companies’ bargains shook up the market, with tens of thousands of subscribers switching from the veteran cellular companies to the two new players.

Now that the bargains have ended, the veteran companies’ shares have leaped upwards, with the Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) and Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) shares jumping up to 12.5%, after losing double-digit percentages of their value in recent months.

Published by Globes [online], Israel business news - www.globes-online.com - on February 3, 2015

Golan Telecom draws most net subscribers in August

ola — Tue, 02 Sep 2014 07:01:32 +0000

Pelephone continues to have a positive churn rate while Partner

was the biggest loser.

The absence of any impediment to moving between mobile phone operators allows consumers to choose the best deal in the market, and they don’t hesitate to transfer allegiances month after month, as August’s figures show. Some 200-250,000 Israelis moved between companies last month. Many other consumers made do with revising the amount they pay after comparing prices with rival companies.

In August, Golan Telecom Ltd. was in top place in terms of competition between the mobile operators. Golan Telecom recruited almost double that of the other new player in the market Hot Mobile Ltd.. Golan’s success in August was probably due to its second line for NIS 18 per month offer.

In fact Hot recruited more subscribers than Golan but as always its problem is the number that leave meaning that Golan ended the month victorious in terms of net gains.

Among the veteran mobile operators Partner Communications Ltd. (Nasdaq: PTNR; TASE:PTNR) lost most subscribers while Pelephone Communications Ltd. gained subscribers during August for the second-straight month.

Partner suffered for two reasons. The changeover to a new technology disrupted its recruitment drive in the middle of the month. The company also suffers from fictitious recruitment with thousands of SIM cards that were not used for a single call raising the suspicion that marketing staff were mounting fictitious operation to take advantage of benefits offered to new subscribers.

Pelephone’s success is due to an intensive attack on Hot’s subscribers – in other words a personal approach and tempting offer.

Partner execs meet Golan Telecom owner

ola — Wed, 12 Mar 2014 07:58:28 +0000

Haim Saban and Adam Chesnoff held a meeting with

Xavier Niel in Paris.

Sources inform ”Globes” that, last week, Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) executives met French media tycoon Xavier Niel, a partner in Golan Telecom Ltd. and an associate of its owner, Michael Golan.

Partner’s controlling shareholder Haim Saban and chairman Adam Chesnoff met Niel in Paris to discuss various options and opportunities in the Israeli telecommunications market. So far as is known, they did not discuss a possible future merger of the carriers, but the meeting indicates that the carriers’ controlling shareholders realize that the situation in Israel must change, and that the existence of five carriers in an environment of extreme uncertainty, in the structure being prepared by the Ministry of Communications, is impossible.

In the past few months, “Globes” has reported that Niel, one of the strongest men in France’s telecommunications industry, had expressed an interest in acquiring Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) from IDB Holding Corp. Ltd. (TASE:IDBH), when the latter was still controlled by Nochi Dankner. Dankner said at the time that Cellcom was not for sale.

Last week’s meeting reportedly discussed the uncertainty about Cellcom’s future and what IDB’s new controlling shareholders want to do with the mobile carrier.

The meeting in Paris was held against the backdrop of talks between Saban Capital Group Inc. and Hot Telecommunication Systems Ltd. (TASE: HOT.B1) owner Patrick Drahi on the sharing of mobile networks, which is waiting for government approval. Presumably, an agreement on network sharing by the carriers is a first step toward a possible future merger of the carriers, but for now, it seems that the Antitrust Authority and the Ministry of Communications will not permit such a merger.

Golan Telecom said in response, “Golan Telecom does not control or manage Niel’s appointments. As always, the company does not comment on rumors.”

No response was obtainable from Saban Capital Group.

Published by Globes [online], Israel business news – www.globes-online.com – on March 11, 2014

“We’re interested in healthcare and telecom”

ola — Sun, 01 Dec 2013 07:54:49 +0000

Carlos Slim tells “Globes” that he is looking for more Israeli

investments after Mobli.

“We will continue to invest in Israel. We have nothing concrete at the moment, and we’re focusing on strengthening our investment in Mobli Ltd., but we will definitely continue to invest. As far as we’re concerned, everything is open,” Mexican billionaire Carlos Slim, the world’s second wealthiest man, told “Globes” in an interview.

“We have not targeted any specific company, but every field is possible. We’re especially interested in the healthcare industry and telecommunications, but I do not rule out finances or retail. We’re very open to anything that moves innovation forward.”

At a press conference with Israeli journalists, Slim said, “Mobli was not the first company that interested us. We were in talks with another Israeli company, but it was acquired by an American company from Silicon Valley.” He declined to disclose the name of the company.

At the press conference during President Shimon Peres’s state visit, and at the interview with “Globes”, Slim, who is of Lebanese extraction, declined to respond to questions if he would visit Israel. However, at a working meeting with Peres, he said, “I am excited by the invitation and I would be pleased to visit Israel.”

Carlos Slim Jr. told “Globes”, “Mexico could be a very interesting target for investment by Israeli companies. There are also possibilities for Israeli companies to link up with Mexican companies and joint develop activity.

Carlos Slim Jr. (46), the heir-apparent to the Slim empire, invited an Israeli delegation to the family-owned museum, where, for over two hours, he laid before 86 Israeli CEOs data and activities of the empire’s companies. Carlos Slim Jr., who serves as chairman of Grupo Carso, reiterated his father’s message about making more investments in Israel. “I’ve discovered a sound and solid business community, which is very relevant for technological development, but also traditional industries,” he said.

Golan Telecom in talks to join Partner-Hot network

ola — Mon, 25 Nov 2013 07:28:48 +0000

Sources say initial talks are underway, and operators await the

Communications Ministry and Antitrust Authority positions.

Sources inform ”Globes” that Golan Telecom Ltd. is in talks to join the shared network of mobile carriers Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) and HOT Mobile Ltd.. Following the announcement of the Partner-Hot deal, the mobile market is in a state of flux, with everyone in talks with everyone else to create 2-3 networks, as Minister of Communications Gilad Erdan wants.

The big story in the mobile market came two weeks ago when Orange franchisee Partner and Hot Mobile announced an agreement to establish a joint network. The deal ignited speculations, including that Golan Telecom might link up with either Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) orPelephone Communications Ltd., or that Cellcom and Pelephone might team up. It turns out that there is only one option, which is Golan Telecom teaming up with the Partner-Hot Mobile network.

Executives involved in the deal confirmed to “Globes” that only preliminary talks are underway, and that everyone is waiting to see the positions of the Ministry of Communications and the Antitrust Authority to the Partner-Hot deal and to a possible Cellcom-Pelephone partnership.

The sources added that nothing in the Partner-Hot Mobile deal prevents adding a third partner to the venture, and that the partners definitely considered this option, in order to create a three-way division of costs, rather than just a two-way division.

Hot Mobile and Golan Telecom have been competing fiercely; a rivalry spiced up by a personal conflict between their owners: Patrick Drahi and Xavier Niel and Michael Golan, respectively. But business is business and money has no odor, and bringing Golan Telecom into the partnership has not been ruled out.

Golan Telecom said in response, “The company does not comment on rumors”.

Partner declined to comment.

Mobile carriers: Golan Telecom faking subscriber numbers

ola — Thu, 31 Oct 2013 07:35:02 +0000

On Tuesday, “Globes” reported that Golan Telecom reached

350,000 subscribers, close to its year-end target of 375,000

subscribers.

Golan Telecom Ltd.’s subscriber meter is annoying its rivals. Several mobile carries claim that the meter is forged, and does not directly agree with their own mobility figures. They also claim that it is not possible to know whether the meter also counts the churn rate or only new subscribers.

On Tuesday, “Globes” reported that Golan Telecom reached 350,000 subscribers, close to its year-end target of 375,000 subscribers.

Some carriers told “Globes” that monitoring Golan Telecom’s meter numbers a few days ago showed a far lower number than 350,000 subscribers, and it was not possible that it gains so many new subscribers within a few days. They even claim that when they photographed the meter on October 24, it showed 337,560 subscribers.

Golan Telecom dismisses the claims out of hand. It said that the meter shows both the number of new subscribers and the churn, and that it is possible to verify the credibility of the numbers by checking against Cellcom Israel Ltd.(NYSE:CEL; TASE:CEL), which hosts Golan Telecom.

Golan Telecom added that, in October, it gained a large number of new subscribers who had not migrated from other carriers, which may be the source of the discrepancy.

Golan Telecom tops recruitment rankings

ola — Wed, 02 Oct 2013 07:15:29 +0000

Golan Telecom again recruited the largest number of net new

subscribers in September 2013 – 8,813 – and in the third quarter -

30,553.

Golan Telecom Ltd. again recruited the largest number of net new subscribers in September 2013 – 8,813 – and in the third quarter – 30,553.

MVNO Youphone was in second place in September, with 2,196 net new subscribers, and MVNO Alon Cellular was in second place for the third quarter, with 7,470 net new subscribers.

Hot Mobile Ltd. had a net loss of 663 subscribers in September, although it gained 5,239 net new subscribers in the third quarter. Market sources attribute the company’s problem to service, but it is hard to see why the machine that won over half a million subscribers within 12 months of launch stopped functioning.

Although Golan Telecom subscriber recruitment is only slightly better than Hot Mobile’s, Hot Mobile’s churn rate is more than double Golan Telecom. Golan Telecom recruited a total of 15,153 new subscribers in September and 51,066 new subscribers in the third quarter, compared with 13,260 new subscribers recruited by Hot Mobile in September and 48,993 new subscribers in the third quarter. But Golan Telecom lost 6,340 subscribers in September, compared with 13,923 subscribers lost by Hot Mobile. In the third quarter, Golan Telecom lost 20,513 subscribers compared with 43,754 lost by Hot Telecom.

Among the veteran mobile carriers, new sales campaigns by Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) enabled it to slash its churn rate, and it lost a net 1,443 subscribers in September. However, it had the largest subscriber loss in the third quarter, at 21,215 subscribers.

Pelephone Communications Ltd. lost a net 4,672 subscribers in September and Orange franchisee Partner Communications Ltd. (Nasdaq: PTNR; TASE:PTNR) lost a net 3,737 subscribers. For the third quarter, however, the situation was reversed: Pelephone lost a net 8,389 subscribers compared with net 11,069 subscribers lost by Partner.

Among the MVNOs, Ramy Levy Cellular continues to shed subscribers, losing a net 566 subscribers in the September and 2,149 subscribers in the third quarter.

High Court extends antenna permit exemption for new carriers

ola — Wed, 02 Oct 2013 07:14:03 +0000

The High Court of Justice extended Golan Telecom and Hot

Mobile’s exemption from a building permit to build mobile

access facilities.

The High Court of Justice today extended the exemption from a building permit granted to new mobile carriers Golan Telecom Ltd. and Hot Mobile Ltd. to build mobile access facilities (small cellular antennas).

The exemption was due to expire on Monday, which would have forced to two carriers to obtain a building permit for each facility. In contemporary Israel, that is an almost mission impossible, because of problems raised by municipalities and the government against the new and veteran mobile carriers.

The High Court of Justice’s decision is a life-saver for Golan Telecom and Hot Mobile, but the court will apparently not continue to ignore the government’s refusal to settle the cellular antenna problem, and ordered the parties to submit responses by December 5, ahead of a decision on the matter.

The High Court of Justice heard Golan Telecom’s petition to extend the exemption because of the Ministry of Justice and the Ministry of Interior’s objections to the extension, while the Ministry of Communications supports the carriers and wants a creative solution for the building of cellular antennas legally and in an orderly manner. The dispute between the ministries and the fact that no minister of communications has been prepared to deal with the matter is a systematic and political failure that is hindering the development of Israel’s business sector.

The mobile carriers, the public, and the country need a solution, because the carriers cannot meet demand for mobile services over their current networks, and more antennas are a critical part of the solution.

The likely solution is to reduce the number of networks (but not the number of carriers) to three networks, which will be used by all five carriers. But the government is not doing anything about this either, with the result that service is deteriorating.

Golan Telecom and Hot Mobile both have hundreds of cellular antenna, built without building permits, more than the three veteran carriers. Absurdly, Golan Telecom, which uses the network of Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL), has more antennas than Cellcom: more than 700 compared with fewer than 500, respectively. Hot Mobile, has more antennas than Pelephone Communications Ltd., whose network it uses.

Telecom turmoil as cellular companies look for buyers

ola — Wed, 31 Oct 2012 09:57:48 +0000

haaretz 24-10-2012

Telecom turmoil as cellular companies look for buyers

The flurry of recent mergers and acquisitions activity has been boosting share prices of telecom companies.

By Amir Teig and Michael Rochvarger | Oct.25, 2012 | 4:21 AM

Amir Teig

Michael Rochvarger

Bezeq Chairman Shaul Elovitch. Photo by Dudu Bachar

Patrick Drahi, controlling shareholder of HOT. Photo by Tomer Appelbaum

Israel’s telecom industry is preparing for reorganization again, with Cellcom and Partner Communications on the block, while Patrick Drahi attempts to consolidate his control over HOT Telecommunication Systems.

Just recently, in 2009 and 2010, the sector underwent a rash of mergers as all companies but Cellcom changed hands. But the industry looked much different then, with profits soaring, thanks largely to lax regulation and highly leveraged buyouts. Since then, however, much of the market has gone into a tailspin: as regulation has toughened and market conditions have changed, company values have come crashing down.

The owners of Cellcom, Nochi Dankner through Discount Investment Corp., and of Partner, Ilan Ben-Dov through Scailex Corporation, are now trying to pick up the pieces by selling to the highest bidder, to reduce the leverage at the tops of their pyramids and repay billions of shekels to the banks and bondholders who put up the money for their purchase in the first place.

Ben-Dov is now said to be wooing Haim Saban into buying at least 16% of Partner. Dankner has already talked to Saban, and is now reportedly in talks with others.

Some companies, though, appear to have emerged strengthened amid the turmoil that has hit the industry, particularly those still holding cash. While it appears the main owners of cellular companies cannot recover without relinquishing control, the ownership of landline companies, Bezeq and HOT, seem to have come out relatively unscathed, thanks largely to prudent financial planning and a more solid asset base.

Drahi exploits opportunities

Patrick Drahi, who completed his takeover of cable company HOT in 2010, seems anxious to turn the slump in its share price to his advantage. Certain that HOT is currently trading well below its real worth, he wants to keep all the chips on the table to himself and enjoy the full future increase in its value.

Drahi is pursuing two deals these days, worth over $400 million together. One is delisting HOT from trading in the stock exchange and taking it private at an estimated cost of NIS 852 million, while the other is for Cool Holdings, HOT’s parent, to buy back about NIS 850 million in private debt from institutionals.

But bondholders are currently balking, demanding an early redemption fee of NIS 220 million. If Drahi reaches agreement on the price of a purchase offer and obtains the financing, mainly from foreign banks, he could complete the move within several months.

Drahi will also need to satisfy his former partners, Eliezer Fishman and Noni Mozes, who still hold 6% and 3% stakes in HOT respectively. Two years ago they sold Drahi shares in the company at prices that were substantially higher than the current value, and they will probably also demand some form of additional compensation.

Only Bezeq remains off the shelf

Meanwhile, the flurry of recent mergers and acquisitions activity has been boosting share prices of telecom companies. The market has begun stabilizing, adding 23% to 35% to the prices of Bezeq, Cellcom, and Partner while HOT’s shares continue fumbling, remaining even a bit lower than the NIS 38 per share offered the public by Drahi.

It appears the only company in the industry not involved in the process of acquisition or change of ownership is Bezeq, under the guidance of CEO Avi Gabay. Bezeq, however, hasn’t been overlooked by the market correction either, rising about 20% since mid September to NIS 4.80 per share, reflecting NIS 13.5 billion in company value, although still remaining 13% less than at the beginning of the year.

The latest recovery in Bezeq’s stock is certainly good news for Shaul Elovitch. Last year he made a notional profit of about NIS 3 billion from his investment in Bezeq through B Communications, which owns 31% of the telecom company. Now, thanks to the hefty NIS 8 billion in dividends distributed by Bezeq since he acquired control in 2009, his theoretical NIS 300 million on the investment as of the beginning of September has been wiped out and his position has been evened out. B Comm bought Bezeq at NIS 8 per share and received NIS 3 per share in dividends, so its adjusted price for the purchase is NIS 5 per share – roughly the same price at which it is now trading.

B Comm shares, which can be considered leveraged options of the first degree for Bezeq shares, have jumped 110% in the last month and a half, now trading at a company value of NIS 831 million. Its bonds have also risen by 16% over the same period, lowering their yield to maturity to the single digits: 5% to 9.9%. If this trend continues the company will be able to refinance its debts without any problem.