Israeli telco Bezeq has been given regulatory permission to raise its stake in local DTH firm YES to beyond 49.8%.
The country’s antitrust authority said it would allow a merger between the two companies, which both have ties to privately-owned…
Israeli telco Bezeq has been given regulatory permission to raise its stake in local DTH firm YES to beyond 49.8%.
The country’s antitrust authority said it would allow a merger between the two companies, which both have ties to privately-owned holding Eurocom, after attaching a number of conditions to the deal.
These conditions include limits on content exclusivity arrangements and the services that the combined group can offer.
Competition concerns caused regulators to shoot down an earlier move by Bezeq to raise its stake to 58% back in 2009, following resistance from Eurocom, which owns the remaining 50.2% in YES.
But since then Eurocom has taken control of Bezeq through an indirect subsidiary.
Israel’s competition authority said today that technological improvements since Bezeq’s rejected stake rise have also changed the market, making it easier for other players to challenge a combined Bezeq/YES. It said there are a number of potential competitors that are posed to enter the TV market.
Eurocom is controlled by Israeli tycoon Shaul Elovitch.
