Cellcom Israel Announces Israeli Ministry of Communications' Position Regarding Purchase of Golan Telecom

Rhea-AI Summary

Cellcom Israel Ltd. (NYSE: CEL) announced that the Israeli Ministry of Communications informed the company that it does not foresee any reasons to prevent its acquisition of Golan Telecom, pending specific conditions to be approved. This development follows a binding memorandum of understanding previously announced and the approval by the Israeli Competition Authority. The transaction execution remains subject to MOC's final conditions, which are yet to be met.

Positive

• Israeli Ministry of Communications supports the acquisition of Golan Telecom.
• Approval from the Israeli Competition Authority has been received.

Negative

• The transaction execution is still pending further approval from the Ministry of Communications.

NETANYA, Israel, July 16, 2020 /PRNewswire/ -- Cellcom Israel Ltd. (NYSE: CEL) (TASE: CEL) (hereinafter: the "Company") announced today that following its previous announcement regarding a binding memorandum of understanding for the purchase of Golan Telecom and approval of the transaction by the Israeli Competition Authority, the Israeli Ministry of Communications, or MOC,  informed the Company that in principle, it doesn't see a reason to prevent the transaction subject to a format and conditions to be approved by the MOC. The execution of the transaction is subject to certain conditions, including the approval of the MOC, which are yet to be met.

For additional details see the Company's most recent annual report for the year ended December 31, 2019 on Form 20-F, filed on March 23, 2020, under "Item 4. Information on the Company –A. History and Development of the Company -– Our History" and the Company's current report on Form 6-K dated June 10, 2020.

About Cellcom Israel

Cellcom Israel Ltd., established in 1994, is a leading Israeli communications group, providing a wide range of communications services. Cellcom Israel is the largest Israeli cellular provider, providing its approximately 2.747 million cellular subscribers (as at March 31, 2020) with a broad range of services including cellular telephony, roaming services for tourists in Israel and for its subscribers abroad, text and multimedia messaging, advanced cellular content and data services and other value-added services in the areas of music, video, mobile office etc., based on Cellcom Israel's technologically advanced infrastructure. The Company operates an LTE 4 generation network and an HSPA 3.5 Generation network enabling advanced high speed broadband multimedia services, in addition to GSM/GPRS/EDGE networks. Cellcom Israel offers Israel's broadest and largest customer service infrastructure including telephone customer service centers, retail stores, and service and sale centers, distributed nationwide. Cellcom Israel further provides OTT TV services, internet infrastructure and connectivity services and international calling services, as well as landline telephone services in Israel. Cellcom Israel's shares are traded both on the New York Stock Exchange (CEL) and the Tel Aviv Stock Exchange (CEL). For additional information please visit the Company's website http://investors.cellcom.co.il.

 

 

Company Contact Shlomi Fruhling Chief Financial Officer investors@cellcom.co.il Tel: +972-52-998-9735

Investor Relations Contact Ehud Helft GK Investor & Public Relations cellcom@gkir.com Tel: +1 617 418 3096

 

 

View original content:http://www.prnewswire.com/news-releases/cellcom-israel-announces-israeli-ministry-of-communications-position-regarding-purchase-of-golan-telecom-301095073.html

SOURCE Cellcom Israel Ltd.

FAQ

What recent acquisition did Cellcom Israel announce regarding Golan Telecom?

Cellcom Israel announced a binding memorandum of understanding to acquire Golan Telecom, subject to approvals.

What is the current status of the Golan Telecom acquisition by Cellcom?

The Israeli Ministry of Communications has indicated it does not oppose the acquisition, pending certain conditions.

Has Cellcom Israel received all necessary approvals for the Golan Telecom acquisition?

No, the acquisition is still subject to further approval from the Ministry of Communications.

What is the significance of the Israeli Ministry of Communications' position on Cellcom's acquisition?

The Ministry's support indicates a positive outlook for the acquisition but does not guarantee completion.

When was the announcement regarding the Golan Telecom acquisition made by Cellcom Israel?

The announcement was made on July 16, 2020.