Mobile carrier Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) is firing 140 employees following its merger with sister company, ISP and international calls carrier 013 NetVision Ltd. NetVision CEO Nir Stern, who will head the merged company, is leading the measure.
The company is laying offer fewer employees than the capital market had predicted, although more layoffs are possible in the future.
Cellcom and NetVision are subsidiaries of Nochi Dankner-controlled IDB Holding Corp. Ltd. (TASE:IDBH) through Discount Investment Corporation (TASE: DISI).
In a statement, Cellcom said, "The company has begun implementing its merger plan with 013 NetVision in order to create a strong, efficient and leading communications group… including the consolidation of the companies' headquarters and the transfer of NetVision employees from its HQ in Rosh Ha'Ayin to Cellcom House in Netanya, the consolidation of business customer operations, and the provision of one-stop-shop service for the group's wide range of products."
Cellcom's share price fell 2.3% by midday on the TASE today to NIS 62.66, after rising 0.4% in New York on Friday to $1.68 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on December 4, 2011
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