Generation Capital is one of the candidates for investment in Partner Communications Ltd.’s (Nasdaq: PTNR; TASE: PTNR)) fiber-optic project. Partner is in the midst of a tender the aim of which is to bring a partner into the project, in order to expedite the rollout of its fiber-optic network. Partner has stated that it seeks a partner to take a 20% stake in the venture.
Ministry approves Hot stake in fiber-optic venture IBC
The idea is to spin-off the activity and to leverage it through the introduction of a partner, with a view to a future flotation. The tender is therefore of interest to financial institutions, among other bodies. Partner’s board of directors has entrusted the management of the tender to Discount Underwriting, which is seeking potential investors.
One of the main questions being raised by investors that have expressed interest in the project is on the timing of the payment, that is, whether the entire amount will be payable when the deal is made or whether part will be payable later, in accordance with the company’s performance. Another question that has arisen concerns the risk, following the entry of HOT Telecommunication Systems Ltd. (TASE: HOT) into the IBC fiber-optic venture, and in the light of the fact that Partner remains as the only carrier that is laying a fiber-optic network alone, without partners capable of bringing in customers for it.
Published by Globes, Israel business news – en.globes.co.il – on February 21, 2021
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