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Partner Communications Announces the Receipt of the Ministry of Communications Approval of the Network Sharing Agreement with Hot Mobile

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Partner Communications Company Ltd. ("Partner" or the "Company") (NASDAQ: PTNR) (TASE:PTNR), a leading Israeli communications operator, announces that the Ministry of Communications (the "MOC") approved the network sharing agreement, that the Company has entered into with HOT Mobile Ltd. ("Hot Mobile"), a wholly owned subsidiary of Hot Telecommunication Systems Ltd., an Israeli cellular telecommunications operator (the "NSA"), following the Antitrust Commissioner (the "Commissioner") approval which was received in May 2014.

As of this date, the NSA is the first and only network sharing agreement in Israel to receive the approval of the Commissioner and the MOC.

The shared cellular network of Partner and Hot Mobile will be operated through a joint venture of both companies (the "Shared Network"; the "JV"). The JV will operate to optimize the Shared Network by reducing the number of network sites, while improving network coverage and capacity and introducing new technologies, in order to improve network efficiency, optimize operating costs and environmental impact. The JV fully operation is subject to the grant of telecommunication license to the JV and the allocation of the frequencies bandwidths (each of 5MHz) in the 1800MHz spectrum that Partner and Hot mobile were awarded in the 4G frequencies tender. Partner will continue to differentiate its high standard services from its competitors, and to retain and operate its own core network, and will be responsible for providing advanced cellular telecommunication services to its own customers, including the provision of customer service, value-added services, marketing and sales.

Prior to the receipt of approval of the MOC to the NSA, Partner's management has entered into an agreement with the representative labor union of the Company employees - the Histadrut new general labor organization and the employees' representative committee, which regulates the transfer of employees from Partner to the JV.
For further information, please see the Company's Annual Report on Form 20-F for the year ended December 31, 2014 "Item 3. Key Information - 3D.2 RISKS RELATING TO OUR BUSINESS OPERATIONS - 3D.2c - The network sharing agreement entered into by Partner may not provide the anticipated benefits and may lead to unexpected costs" and "3D.2e - The recent unionization of our employees might prevent us from executing necessary organizational and personnel changes, result in increased costs or disruption to our operations, and reduce management's flexibility to adapt operations to market conditions, and our operating expenses may be increased, all of which could adversely impact our results". See also "Item 4. Information on the Company - 4B. Business Overview - 4B.9 OUR NETWORK - 4B.9a Overview" and the Company's press releases and immediate reports (on Form 6-K) dated November 8, 2013 at: http://maya.tase.co.il/bursa/report.asp?report_cd=854655 or http://www.sec.gov/Archives/edgar/data/1096691/000117891313003091/zk1313845.htm and May 22, 2014 at: http://maya.tase.co.il/bursa/report.asp?report_cd=898380 or http://www.sec.gov/Archives/edgar/data/1096691/000117891314001802/zk1414995.htm.

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