Golan Telecom Ltd. is considering asking the court to grant a stay-of-proceedings and appoint a receiver following the likely decision by the Israel Antitrust Authority to oppose its merger with Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL). Sources close to Golan Telecom CEO Michael Golan have told "Globes" that this is a highly probable scenario and that the mobile operator is preparing for this once the company's future becomes clearer. Golan Telecom declined to comment on the matter. RELATED ARTICLES Hot tempts Golan customers with identical deals "I've done more for Israelis than Netanyahu, Kahlon" Don't buy Michael Golan's threats The possibility that a court would appoint a receiver for Golan Telecom is quite feasible so that the company could calm the market until its situation becomes clear. Appointment of a receiver would also lead to other developments depending on the decisions of the court, which would be charged with Golan Telecom's fate. Golan claims that it is now losing money because of the NIS 21 million it must pay every month to Cellcom for use of its network. This agreement is for a higher amount than it was in previous years and hence the current losses. Golan Telecom has also failed to expand its subscriber base in recent months further exacerbating the financial situation. Over the past few days, Golan Telecom has taken exceptional steps in desperate attempts to persuade the Israel Antitrust Authority to let the Cellcom merger go ahead. These include threatening letters to Prime Minister Benjamin Netanyahu and Minister of Finance Moshe Kahlon blaming them for the potential collapse of Golan's network if they do not allow the merger. Published by Globes [online], Israel business news - www.globes-online.com - on April 11, 2016 © Copyright of Globes Publisher Itonut (1983) Ltd. 2016
