The asking price for Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) that Hutchison Telecommunications International Ltd. (NYSE: HTX; HKSE: 2332) is asking may be too high. Sources inform ''Globes'' that the Rohn Fund, one of the private equity funds that had expressed an interest in the cellular operator, is considering withdrawing from the race.
The Rohn Fund was due to join the consortium of First Israel Mezzanine Investors Fund (FIMI) and Migdal Insurance and Financial Holdings Ltd. (TASE: MGDL). FIMI intends to continue its effort to acquire Partner, irrespective of the Rohn Fund, and submitted its own bid for the company.
As reported in "Globes", the consortia that are interested in Partner will probably mix and match, and revise their initial bids before making final offers. The likely departure of the Rohn Fund will reportedly reflects dissatisfaction over Hutchison Telecommunications' asking price for its 51.33% stake in Partner, which apparently renders an acquisition unsuitable for an investment fund that has to show a certain return on investment at the end of a reasonable period.
Published by Globes [online], Israel business news - www.globes-online.com - on July 22, 2009
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