Nehama to Buy Arkin's Share at Less Than Market Price

Shlomo Nehama is expected to buy out Moshe (Mori) Arkin's stake in Bezeq, 10 percent of the controlling interest, which is 3 percent of the company.

According to sources close to the deal, talks have advanced considerably in the past few days, and an agreement is expected to be signed soon.

Nehama is expected to pay less than the market value for the shares, which is now NIS 550 million. The reason for the discount is that Nehama will have to replace Arkin as the Israeli investor in the controlling interest to meet the state's requirements.

The controlling interest comprises 30 percent of Bezeq's shares, divided between Arkin, Haim Saban and private equity firm Apax. The group also has the option to buy another 10 percent from the state. The agreement between Nehama and Arkin would give him the full rights to Arkin's share, including the option to increase his holding to 4 percent.