The deadline for bids for the acquisition of Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) are due tomorrow evening. The timetable, however, is not rigid or unchangeable, and late bids will be accepted by the seller, Hutchison Telecommunications International Ltd. (HKSE: 2332; NYSE: HTX). Hutchison is selling its entire 50.1% stake in Partner.
The names of potential bidders are constantly being raised and dropped. Kobi Maimon is the latest person who has reportedly met with Hutchison's representatives, Amikam Cohen and Dan Eldar. Sources close to the process said that Maimon had examined the issue, but that he would probably not make an offer.
Many parties have expressed an interest in Partner since institutional investors announced plans to participate in a deal. However, it remains to be seen who will go the distance in the estimated $1.4 billion sale, half of which the buyer will have to put from its own equity.
The three likeliest bidders are Eurocom Group, owned by chairman Shaul Elovitch, First Israel Mezzanine Investors Fund (FIMI), and Ilan Ben-Dov. They will be joined by institutional investors and private equity funds, such as Bank Leumi (TASE: LUMI) unit Leumi Partners Ltd., Migdal Insurance and Financial Holdings Ltd. (TASE: MGDL) Providence Fund, and Rohn Fund.
After receiving the bids, Hutchinson will decide with whom to enter negotiations on a sale of Partner. The process will likely be short, and the identity of the buyer should be known soon. Partner will probably open an information room for due diligence by any buyers.
Published by Globes [online], Israel business news - www.globes-online.com - on July 7, 2009
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