Satellite TV firm YES is in a very different situation than cable TV firm Tevel, and therefore the scenario where YES would be managed by a trustee is distant, a senior source in the company said.
The source said that YES is progressing according to its business plan, and that unlike Tevel, YES' shareholders are injecting money and will continue to do so. It is therefore likely YES and the banks will reach an understanding and sign a long-term financing agreement, the source said.
Last week YES and the banks signed a $70 million credit agreement for four months. During this period the parties are to continue talks in order to reach an agreement on new milestones for additional credit. "It's clear to everyone that any shekel that is invested today in YES will generate yield," the source said.
Ilan Biran, CEO of state-owned phone company Bezeq (TASE: BEZQ ), in the past said that Bezeq will oppose becoming YES's exclusive financer, and that further capital injections will be conditional at every stage on additional bank financing and on at least one shareholder injecting a stipulated minimum. Failure to meet one of these terms is expected to lead Bezeq to cease its financing, Biran said.