Control of Satcom was scattered among institutional entities – the capital market

After no buyer was found for the satellite communications company

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, Of the companies of the parent company Eurocom, which came to the receivership about three years ago, dispersed control of the company between institutional entities that purchased about 40% of the shares, and now the company will be run without a controlling interest.

The move was preceded by contacts between chairman Ami Barlev and the Ministry of Communications to obtain approval for the move. Acquiring control of a communications entity requires approval from the ministry. For example, the transfer of control of DSK to a group of investors led by Mega Or by Tzachi Nachmias is still awaiting approval by the ministry. Mega Or, for its part, claims that it does not control the DCS. Similarly, the Ministry of Communications demanded that an Israeli partner enter into the Surchlight-Bezeq deal from two years ago, and thus David Forer joined in the acquisition of control.

Under controlling shareholder Shaul Alovich, Eurocom went into liquidation in 2018. As part of this, the joint attorneys Pini Rubin, Amnon Lorch and Uri Gao sold control of the subsidiaries Analite, and

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as mentioned. They also tried to sell Satcom, including Or Elowitz, Shaul’s son, who at the time offered an amount lower than Satcom’s value in the market, and Liquid, which in August 2018 offered NIS 29 million for control (41% owned by Eurocom), which reflected a value of about 80 for Satcom. a million shekels. Today, two and a half years later, the company is trading at a lower value of NIS 60 million, after a 9% increase in the past year.

Satcom provides advanced satellite and fiber communications services, including Internet services, cellular communications, data transmission, etc., and is active primarily in Africa and other areas where local infrastructure does not allow these services. Prior to the dissolution of control among the institutional bodies, the public holdings in the company were estimated at about 40%, and its stakeholders were Elowitz (5%) and Phoenix (15%).

While in the company’s environment they speak in praise of the strong management, according to them, as stated there is no buyer for it, at least not under conditions that were acceptable to the joints, even after the change of focus in favor of project activity, unlike a model of pre-purchase capacity for data traffic on satellites. Search for customers.

In the third quarter of the year, revenues decreased by 17% to NIS 43 million, compared with NIS 52 million in the corresponding quarter. On the other hand, the loss was reduced to NIS 0.9 million, compared with NIS 1.3 million in the corresponding period. It should also be noted that the gross profit margin in the period rose to 30.4%, compared with 25.7% in the corresponding quarter. As of the end of the third quarter, Satcom’s order backlog was estimated at $ 57 million.