Cellcom will start a capital raising process of NIS 400 million

Cellcom telecommunications company 2.9% reported that the board of directors has ordered the company to start a capital raising process of NIS 400 million through the issuance of shares and options convertible into shares.
According to the report, the communications company intends to raise NIS 280 million in share issuance, in addition to raising NIS 120 million through the issuance of two series of warrants, with the securities offered to Israeli investors and institutional entities.
Control Shareholder - Discount Investment (47%) of Eduardo Elstein announced to the company that if the IPO actually comes into effect, DSC will also participate in the IPO in a way that will (at least) retain its relative share of Cellcom shares.
The issue date has not yet been set, and additional approvals from the board of directors and the stock exchange are still required. The company makes it clear, however, that there is no certainty about the issue being implemented.
Last week, the telecommunications company reported a 3.1% increase in revenues in the third quarter to NIS 938 million, but showed a decrease in profitability and a return to a net loss of NIS million, compared with a net profit of about NIS 2 million in the corresponding quarter last year. The number of cellular subscribers decreased by 2%, while improvement in areas considered the company's "growth engine" - the number of Internet subscribers grew by 6.6% and the number of TV subscribers grew by 20%.