Pelephone Acquires Wecom for $70 Million in Israeli Mobile Market Deal
Translated & summarized from NEWSru Israel by baba
Pelephone, part of the Bezeq Group, has agreed to acquire the mobile operator Wecom for approximately 265 million shekels. The deal, announced on November 9, awaits approval from Israeli regulators. Wecom, which has around 300,000 customers and a 3% market share, operates on Cellcom's network. Bezeq expects the acquisition to generate significant financial benefits.
The story in 5 lines · by baba
- Pelephone agreed to buy mobile operator Wecom for approximately 265 million shekels.
- The deal is subject to approval from the Ministry of Communications and Competition Authority.
- Wecom has about 300,000 customers and a 3% share of the Israeli mobile market.
- Wecom operates on Cellcom's network, which may complicate regulatory approval.
- Bezeq expects the acquisition to bring substantial financial benefits.
Pelephone, a subsidiary of the Bezeq Group, announced on Monday, November 9, that it has signed an agreement to purchase the mobile operator Wecom for approximately 265 million shekels. The deal follows a period of due diligence and months of negotiations. Completion of the acquisition is contingent upon approval from the Ministry of Communications and the Israel Competition Authority. Bezeq anticipates that the transaction will yield a positive financial impact of around 50 million shekels in the short term and approximately 100 million shekels in the long term.
Pelephone, Israel's first mobile operator, serves over 2.7 million subscribers, including more than 1.6 million on its 5G networks. Wecom, which operates as a virtual mobile network operator, has about 300,000 customers, representing roughly 3% of the market share. A key factor for regulatory review is that Wecom does not own its own infrastructure and currently utilizes Cellcom's network under a long-term roaming agreement.
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