“Avoid getting into liquidation proceedings”: Expon deal – Clearmark | Expon will continue to run a standalone network The transaction is expected to provide full repayment of Expon’s debts to all member creditors
The Ministry of Communications today (Sunday) approved the sale of control of Expon to the Clearmark Group and businessman Yaniv Lerner.
The deal was approved after the ministry considered, among other things, considerations of promoting industry competition in the cellular industry. The deal will allow Expon to continue operating in the market, after Expon had been in the process of approving a debt settlement in the district court in recent months.
At the same time, the Ministry of Communications approves changes to the network sharing agreement between Cellcom and Expon. Expon will continue to operate in the format of a mobile operator with an independent network (MNO), and is expected to promote and invest in the deployment of 5th generation infrastructure.
Expon will continue the company’s regular activity in the market and will refrain from reaching liquidation proceedings, which is expected to lead to an improvement in the quality of coverage, absorption and service to its subscribers, and is important to the economy and the general public in Israel.
The approval of the sale and the changes in the network sharing agreement preserve the existing market structure, which includes five cellular operators with network networks, as well as the level of existing competition in the market.
In addition, they are expected to promote continued investments in the Israeli communications infrastructure market, including the promotion of the 5th generation retirement, which is a significant component for the growth of the Israeli economy and the improvement of services for the general public.
The deal offered by Clearmark to Expon is expected to provide a full repayment of the debts to all the company’s creditors, with the exception of the owner’s debt to Hezli Bezalel, as well as ensuring the employment of all the cellular company’s employees.