Buffeted by the prolonged technology crisis, Cisco Systems (Nasdaq:CSCO) has voided an agreement to rent a 40,000 square meter space in Yaqum Park, Israel.
Cisco Systems Israel had signed the agreement to rent the space, which includes parking areas, with Yaqum Development, a subsidiary of Darban Investments (50%). Darban is controlled by tycoon Eliezer Fishman.
Cisco had committed to rental payments of NIS 37 million a year over ten years. It had an option to extend the lease to 20 years, and to rent additional space. Under the agreement, Cisco owes Yaqum compensation of NIS 65 million.