ROSH
HA'AYIN, Israel, Dec. 22,
2022 /PRNewswire/ -- Partner Communications
Company Ltd. ("Partner" or "the Company") (NASDAQ: PTNR) (TASE:
PTNR), a leading Israeli communications
operator, announced today that on December 21, 2022 an agreement was executed
between the Company and Bezeq - the Israel Telecommunication Corp.
Ltd. ("Bezeq" and "The Agreement"), regarding the
purchase of an indefeasible and irrevocable right of use (IRU) for
15 years of 120 thousand non-specific fiber optic infrastructure
lines in buildings connected to Bezeq's fiber-optic infrastructure
("The First Agreement Period" and "Fiber Optic
Lines").
In accordance with the Agreement, the right to use the Fiber
Optic Lines will be granted in 5 equal annual installments, with
the first installment beginning on January
1, 2023. The total consideration that the Company will pay
Bezeq for the right of use in accordance with the Agreement is
approximately NIS 574 million plus
VAT for the First Agreement Period ("the Consideration"),
that will be divided into five equal payments (in accordance with
the above-mentioned installment dates), that will be paid at the
beginning of each calendar year of the years 2023 until 2027, plus
half of the linkage differences, and all in accordance with the
terms set forth in the Agreement ("The Installment
Amount"). The Company has the option to divide each
Installment Amount over a period of five years, with interest to be
added at a rate equal to Bezeq's NIS bond yield at the relevant
average duration that will be known at the date of right of use of
the Fiber Optic Lines for that installment.
The Company will also pay annual maintenance fees at a rate of
4% of the Consideration, plus linkage differences, in accordance
with the terms set forth in the Agreement, for all of the Fiber
Optic Lines for which the Company was granted a right of use until
that year.
The Company has been provided with an option to purchase the
right to use 48 thousand additional Fiber Optic Lines, under the
same terms, during the First Agreement Period, as well as an option
to extend the period of use for two additional 5-year periods each,
beyond the First Agreement Period (in total 25 years), at a lower
cost per Fiber Optic Line than during the First Agreement
Period.
In addition, the Company has the option to bring forward both
the dates of the right of use of the Fiber Optic Lines and the
payments for them. The Agreement also contains a price protection
mechanism that weighs the regulatory price for a line, starting
from the sixth year of the Agreement, as well as an upgrade
mechanism of the Fiber Optic Lines rate, in accordance with the
terms set forth in the Agreement.
Forward-Looking Statements
This press release includes forward-looking statements, as this
term is defined in Section 27A of the US Securities Act of 1933, as
amended, Section 21E of the US Securities Exchange Act of 1934, as
amended, and the safe-harbor provisions of the US Private
Securities Litigation Reform Act of 1995. Words such as "will",
"believe", "anticipate", "expect", "intend", "strive", "seek",
"plan", "could", "may", "foresee", "target", "objective", "goal",
declensions thereof and similar expressions typically convey
forward-looking statements, but these words are not the only words
that convey these statements. We have based these forward-looking
statements on our current knowledge and our present beliefs and
expectations regarding possible future events. These
forward-looking statements are subject to risks, uncertainties and
assumptions. We undertake no obligation to publicly update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise.
About Partner Communications
Partner Communications Company Ltd. is a leading Israeli
provider of telecommunications services (cellular, fixed-line
telephony, internet and television services). Partner's ADSs are
quoted on the NASDAQ Global Select Market™ and its shares are
traded on the Tel Aviv Stock Exchange (NASDAQ: PTNR) (TASE:
PTNR).
For more information about Partner see:
http://www.partner.co.il/en/Investors-Relations/lobby
Contact:
Sigal
Tzadok
Acting Chief Financial
Officer
Tel: +972 (54) 781
4958
|
Amir
Adar
Head of Investor
Relations & Corporate Projects
Tel: +972 (54) 781
5051
E-mail:
investors@partner.co.il
|
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SOURCE Partner Communications Company Ltd.