Saban says to give up controlling stake in Israel's Partner Comms

Hutchison Telecommunications Hong Kong Holdings

23/09/2019 13:24

JERUSALEM, Sept 23 (Reuters) - U.S.-Israeli media magnate
Haim Saban on Monday said he would give up his controlling stake
in Israeli mobile phone operator Partner Communications
 PTNR.TA  after failing to secure better terms on a loan that he
used to pay for the stake.
    Saban bought a 30% stake in Partner, Israel's second-largest
mobile operator, from Scailex in 2013 using a $300 million loan
from Hong Kong conglomerate Hutchison Whampoa  0215.HK .
Repayment is due in January 2020 and Saban had used his holdings
in Partner, Israel's second largest mobile phone operator, as
collateral for the loan.
    In a filing with the U.S. securities regulator, Saban said
his company, SB Israel Telecom, had been in discussions with
debt owners regarding the loan's terms.
    "At this time, it is unlikely that any agreement will be
reached between SB and the lenders, and the lenders may exercise
their rights," it said.
    The value of Saban's holdings in Partner  PTNR.O  have slid
to 733 million shekels ($209 million), less than repayment of
the loan. Partner's market value stands at 2.4 billion shekels. 
  
    ($1 = 3.5130 shekels)

 (Reporting by Steven Scheer; Editing by Tova Cohen)
 ((steven.scheer@thomsonreuters.com; +972 2 632 2210; Reuters
Messaging: steven.scheer.thomsonreuters.com@reuters.net;
Twitter: @StevenMScheer))