Pelephone Signs NIS 2.1 Billion Memorandum to Acquire Cellular provider service HOT Mobile

Pelephone Communications, headed by CEO Ilan Sigal, announced today (Monday) that it has signed a non-binding memorandum of principles with Hot Telecommunications for the acquisition of Hot Mobile at a valuation of NIS 2.1 billion.

According to the company’s report to the Tel Aviv Stock Exchange, the memorandum outlines a 45-business-day period—with an option to extend for an additional 15 days—during which Pelephone will conduct due diligence and negotiate the commercial and legal terms of a potential binding agreement.

If finalized, the deal will require approval from the Ministry of Communications and the Competition Authority before it can take effect.

A Milestone in Israel’s Telecom Market

Pelephone, Israel’s first mobile operator, currently serves over 2.6 million subscribers, including 1.5 million 5G users, and operates the country’s first independent 5G network core.

Should the acquisition move forward, it would mark a significant milestone in Israel’s communications landscape—both for its financial scale and its potential to consolidate network infrastructure, enhance service quality, and bolster competition against major rivals Cellcom and Partner.

Industry analysts note that a successful merger could also streamline operational costs and accelerate 5G deployment nationwide, positioning Pelephone as a more dominant force in Israel’s mobile sector.