Saban Capital responded to Patrick Drahi’s remarks
about a possible Hot acquisition of Partner or Cellcom.
Saban Capital Group Inc. says that Orange franchisee Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) is not for sale. The remarks were made in response to comments by Patrick Drahi to French portal “La Tribune” that he might be interested in acquiring either Partner or Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL).
Drahi’s remarks took the Israeli mobile market by storm, given the damaging uncertainty about the sector, because of the fundamentally flawed conduct by the Ministry of Communications, which simply does not know how to create an operating horizon for the carriers. This is reflected by the very problematic delay in taking the decisions needed to stabilize the industry and its future, causing deep frustration among the carriers, which are trying to solve their problems through consolidation.
Haim Saban recently met Golan Telecom Ltd.shareholder Xavier Niel, the owner of French telecom group Free. The meeting strengthens widespread rumors that consolidation in Israel’s mobile market is just a matter of time.
Drahi owns Hot Telecommunication Systems Ltd. (TASE: HOT.B1) and its subsidiary HOT Mobile Ltd. through Altice SA (Amsterdam: ATC), which acquired France’s second largest telecommunications group for €13.5 billion and, according to “La Tribune” is insatiable for more acquisitions.
Published by Globes [online], Israel business news - www.globes-online.com - on April 9, 2014