Mobile carrier Golan Telecom deposits guarantee

Golan Telecom will be become Israel's fifth mobile carrier after today submitting its NIS 360 million guarantee.

Golan Telecom Ltd. today submitted its NIS 360 million guarantee to the Ministry of Communications. Deposit of the guarantee essentially completes the mobile carrier tender. Golan Telecom will be become Israel's fifth mobile carrier.

Golan Telecom was named the winner, after the two companies - 018 Xfone Communications Ltd. and Select Communications Ltd. - that originally outbid it were disqualified when they were unable to submit guarantees. Golan Telecom, headed by Michal Golan and Xavier Niel, submitted the guarantee in record time, apparently because the company had the cash in hand and had already secured a deal with the banks.

In addition, Golan Telecom only had to provide half the guarantee of 018 and Select.

The other winner in the mobile carrier tender is Patrick Drahi's Mirs Communications Ltd.

Published by Globes [online], Israel business news - www.globes-online.com - on July 31, 2011

© Copyright of Globes Publisher Itonut (1983) Ltd. 2011

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