SES in talks to buy Israel's RR Media for $250m

Avi Cohen
Avi Cohen

The European global satellite provider is in talks to buy the Lod-based digital media services company.

Israeli digital media services company RR Media Ltd. (Nasdaq:RRM) is in initial talks to be acquired by an international corporation. Market sources believe that it is Luxembourg-based global satellite provider SES, which is in talks to buy the Lod-based company for an estimated $250 million, nearly double its market cap of $117.4 million.

If such a deal does go ahead this will be a major boost for Rapac Communication and Infrastructure Ltd. (TASE: RPAC), which holds a 34% stake in RR Media and would receive about $80 million. Another major shareholder in RR Media is Viola Private Equity, which has a 29% stake.

Following the reports, Rapac's shares were up 75% in morning trading on the Tel Aviv Stock Exchange (TASE).

RR Media's CEO is Avi Cohen. The company provides a wide range of digital media and networking services for clients like Fox International, NFL, MTV, Nickelodeon, Dish Network and Disney. RR Media's Smart Global Network uses an optimized combination of satellite, fiber and the internet to reach more than 95% of the world’s population in hundreds of countries.

Published by Globes [online], Israel business news - www.globes-online.com - on September 1, 2015

© Copyright of Globes Publisher Itonut (1983) Ltd. 2015

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