Second Authority Approves Reshet 13 Acquisition by Assaf Rappaport
The Second Authority Council has approved the transfer of Reshet 13 to Merit Foundation, led by Assaf Rappaport, following a $25 million acquisition deal.
The Second Authority Council has officially approved the transfer of control over Reshet 13 to the Merit Foundation, led by high-tech entrepreneur Assaf Rappaport. As previously revealed by Globes in March, a group of tech leaders signed an agreement to acquire a controlling stake in the television channel through the foundation, with Rappaport and Yinon Costica listed as key investors.
The decision followed extensive professional reviews led by acting Second Authority CEO Ori Sharf, who evaluated the ownership structure, funding sources, and the broadcaster's ongoing operational stability. As a condition for approval, the council instituted stringent transparency and monitoring mechanisms to prevent undue influence over editorial content and decision-making.
A New Media Startup Model
Under the transaction terms, Rappaport will acquire the majority of shares from Len Blavatnik's Access Industries for approximately $25 million. Furthermore, the investors committed to a multi-year recovery plan, injecting $45 million in the first year and a total of $100 million over the first three years to achieve operational equilibrium.
"Our entry into Reshet 13 stems from a deep belief in the importance of free, independent, and high-quality Israeli journalism as an essential infrastructure for society," the Merit Foundation stated.
Conclusion of a Regulatory Saga
The approval ends a prolonged saga marked by regulatory hurdles and legal battles involving Communications Minister Shlomo Karhi and the High Court of Justice. Despite political friction, the outgoing council functioned to greenlight the deal, securing the future of the major Israeli broadcaster.
