Pelephone Signs Non-Binding Agreement to Acquire Wecom for 265 Million Shekels

Pelephone has signed a non-binding memorandum of understanding to acquire the cellular operator Wecom for approximately 265 million shekels, marking a significant development in Israel's telecommunications sector. The agreement grants both parties a 60-day exclusivity period from the signing date, with an option to extend for an additional 30 days. During this time, the companies will conduct thorough due diligence on Wecom and engage in intensive negotiations to finalize the legal and commercial terms of the deal. Despite this progress, the completion of the acquisition is not guaranteed at this stage.

To finalize the purchase, Pelephone and Wecom must overcome several regulatory hurdles, including obtaining official approvals from the Ministry of Communications and the Antitrust Authority. Pelephone's CEO, Ilan Sigal, stated that the memorandum reflects Pelephone's commitment to exploring strategic moves that support long-term growth and value creation. He described Wecom as a quality company with impressive operations and expressed optimism about the potential of the deal if it materializes.

Sigal emphasized that, if completed and approved, the acquisition would strengthen Pelephone's ability to invest in Israel's advanced communication infrastructure. He highlighted the importance of 5G as a national infrastructure and noted that continued investment in it is key to enhancing competition, promoting innovation, and accelerating the growth of the Israeli economy.