August 29, 2009
Partner Orange Sale: Israeli Samsung distributor, Scailex Corp. has made a binding offer to buy a majority stake in local mobile network operator, Partner. The 51% stake is currently owned by Hutchison Telecommunications who have previously said they are looking to sell the company.
Though Ben-Dov’s agreement is to buy 51% of Partner, that doesn’t mean he has to keep all the shares. He’s selling a 5% stake to Bank Leumi (irrespective of money he’s borrowing from Leumi) for NIS 515 million, and may sell more shares to Bank Mizrahi-Tefahot in order to fund his purchase.
Partner Orange Ramadan BTL promotion: Every year mobile operators launch a promotion for the muslim sector in Israel to increase their loyalty and encourage usage. The promotions are usually kept bellow the line in order to appeal only to this specific sector.
This year- Orange (Partner) was giving away 2000 minutes for calls at night (between 21:30-05:30) for muslims during Ramadan fast which lasts a month. All customers had to do was to send a text message with the word Ramadan to the number 999 and get the reward.
But this things did’nt go as planned and the Ramadan offer only dedicated to muslim customers was exposed on Ynet- the biggest Israeli news portal. As a result, that many customers who are not muslims started to send texts to recieve the 2000 reward, in other words- abusing the promotion.
The final result was- leading to the promotion cancelation within two days after launch since Orange couldn’t handle the demand.
What do you think?
July 18, 2009
For many months the industry vibes were implying that Hutchison is about to sell its stake in Partner IL. Vibes that weren’t confirmed until very recently.
Ha’aretznewspaper says that Hutchison Whampoa who owns 51% stake in Partner Communications (PTNR), has informed Ilan Ben-Dov on thursday that his offer to buy its controlling interest in Partner Communications has reached the next stage. He was the first potential buyer to receive such notice.
Other contenders for Hutchison’s stake include Shaul Elovitch’s company Eurocom, Ishay Davidi’s private equity fund FIMI, and Leumi Partners, which put together a group hat includes the Migdal insurance company, Mivtachim, and former banker Shlomo Nehama. The first stage, which Ben-Dov has passed, involved proposing a non-binding offer. The second stage will grant them access to Partner’s confidential information, after which they’ll have to make a binding offer.
According to Reuters, Standard & Poor’s Maalot said on Tuesday it moved Partner Communications (PTNR.TA) (PTNR.O) to CreditWatch “developing” from “positive”, after Hutchison Telecommunications International (2332.HK) said it might sell its stake in the mobile operator. “A possible change in Partner’s ownership structure could have an impact on the company’s financial structure and as a result also on its financial risk profile,” the Israeli S&P unit said in a statement to the Tel Aviv Stock Exchange.
Meanwhile, Orange has won Israel’s leading communications brand (and second of all brand after Coca-Cola) for the seventh consecutive year, followed by Cellcom.