Aurec Group

Aurec Group is an Israeli holding company founded in 1968 by Morris Kahn. Its name has been associated with the Latin word for gold and with a Hebrew term meaning artery, reflecting the group's historical connection with communications infrastructure and network businesses. Kahn immigrated to Israel from South Africa in 1956 and built Aurec as an investment group with substantial exposure to communications-related companies. The group’s historical portfolio included several businesses that participated in the development of Israel’s telecommunications and information-services markets. Golden Pages operated as Israel’s Yellow Pages directory business. Aurec also held interests in Golden Channels, a cable television provider that was later amalgamated into HOT, one of Israel’s major cable communications companies. Another important investment was Golden Lines, also known as Kavei Zahav, an internet service provider that was subsequently combined with Internet Zahav to create 012 Smile. Through AIG Golden, Aurec participated in an insurance joint venture with American International Group. The group was also associated with Amdocs, which developed into a major international provider of software and services for telecommunications billing, customer relationship management, and operations-support systems. Aurec’s history includes a series of disposals and portfolio realignments around the turn of the millennium. In 1999, it sold its interests in the Arutzei Zahav cable company to its partners, Eliezer Fishman and Yedioth Ahronoth, for a reported US$40 million. In 2000, Morris Kahn sold 51.5 percent of Aurec’s interest in Golden Lines to Fishman for a reported US$180 million. Aurec also divested its 50 percent holding in Netcom, a smaller provider of data-communications networks, during 2000. The value of that transaction was not disclosed; contemporary reporting cited an estimated value of approximately US$20 million. These transactions demonstrate Aurec’s role as an investment and holding group rather than as a consumer-facing product brand. Its businesses operated under their own names and served different sectors, including telecommunications infrastructure, cable television, internet access, insurance, directory information, and enterprise software. The available reference material does not establish a current operating portfolio, a current headquarters address, a current executive roster, or whether the group remains active in its historical form. Accordingly, Aurec Group’s present status and ownership structure should be treated as requiring verification.

Aurec Group was established in Israel in 1968 by Morris Kahn, who had immigrated from South Africa in 1956. It developed as a holding and investment company with a concentration in communications-related businesses. Rather than presenting a single unified consumer proposition, Aurec assembled interests in companies operating across several parts of the communications and information-services value chain. One of its historical holdings was Golden Pages, the Israeli Yellow Pages business. The group also participated in cable television through Golden Channels and in internet access through Golden Lines, known in Hebrew as Kavei Zahav. Golden Channels was later amalgamated into HOT, while Golden Lines was eventually merged with Internet Zahav to form 012 Smile. These investments placed Aurec within the development of Israel’s cable, internet, and telecommunications sectors during periods of major market and technological change. Aurec’s portfolio was not limited to connectivity. AIG Golden represented an insurance joint venture with American International Group. The group was also connected with Amdocs, which became a leading provider of billing, customer-relationship-management, and operations-support software and services for telecommunications companies. The available account does not specify the full chronology or precise ownership percentages for every Aurec investment, so those relationships should not be interpreted as identical forms of control. Beginning in the late 1990s, Aurec undertook significant divestments. In 1999, it sold its holdings in Arutzei Zahav, a cable company, to its partners Eliezer Fishman and Yedioth Ahronoth for US$40 million. In 2000, Kahn sold 51.5 percent of Aurec’s holdings in Golden Lines to Fishman for US$180 million. Aurec also sold its 50 percent stake in Netcom, a smaller data-communications network provider. The Netcom consideration was not publicly disclosed, though it was reported or estimated at roughly US$20 million. The divestments indicate a shift in Aurec’s historical portfolio and reduced direct exposure to some Israeli communications operators. The reference material does not provide a complete account of subsequent investments, current ownership, current management, or the group’s present operating status. Aurec is therefore best documented as an Israeli holding company with an important historical role in communications and technology investments, while its contemporary profile remains uncertain.

• 2000

  Golden Lines ownership sale

  [1]Aurec Groupen.wikipedia.org

  Aurec sells 51.5 percent of its Golden Lines holdings to Eliezer Fishman for a reported US$180 million.

• 2000

  Netcom divestment

  [1]Aurec Groupen.wikipedia.org

  Aurec divests its 50 percent interest in Netcom; the transaction value is not disclosed.

• 1999

  Sale of Arutzei Zahav holdings

  [1]Aurec Groupen.wikipedia.org

  Aurec sells its interests in Arutzei Zahav to Eliezer Fishman and Yedioth Ahronoth for a reported US$40 million.

• 1968

  Aurec Group is established

  [1]Aurec Groupen.wikipedia.org

  Morris Kahn establishes Aurec Group in Israel as a holding and investment company.

A diversified Israeli investment group historically focused on communications, telecommunications infrastructure, information services, and related technology businesses.

• Business directory

  Golden Pages

  Golden Pages was Israel’s Yellow Pages directory business and formed part of Aurec Group’s historical information-services portfolio. It represented the group’s exposure to directory publishing and business listings rather than a telecommunications network or consumer electronics product.

• Cable television

  Golden Channels

  Golden Channels was a historical Israeli cable television provider associated with Aurec Group. The business was later amalgamated into HOT, linking the asset to the consolidation of Israel’s cable television market.

• Internet service provider

  Golden Lines

  Golden Lines, also known as Kavei Zahav, was an Israeli internet service provider in which Aurec held a historical interest. It was later merged with Internet Zahav to form 012 Smile.

• Insurance joint venture

  AIG Golden

  AIG Golden was an insurance joint venture between Aurec and American International Group. The available source identifies the relationship but does not provide sufficient detail on its products, operating period, or eventual ownership outcome.

• Telecommunications software and services

  Amdocs

  Amdocs was associated with Aurec’s historical investment portfolio and later became a major provider of telecommunications software and services. Its capabilities include billing, customer relationship management, and operations-support systems for communications companies.

• 2000

  Sale of Golden Lines stakeM&A

  Background

  Golden Lines was one of Aurec’s principal telecommunications and internet-service investments.

  Action taken

  Morris Kahn sold 51.5 percent of Aurec Group’s holdings in Golden Lines to Eliezer Fishman.

  Aftermath

  Aurec reduced its ownership in Golden Lines in a transaction reported at US$180 million.

  Reported transaction value. US$180 million (2000)

  Source

• 2000

  Divestment of Netcom stakeM&A

  Background

  Aurec owned 50 percent of Netcom, a smaller provider of data-communications networks.

  Action taken

  Aurec sold its 50 percent interest in Netcom.

  Aftermath

  The transaction value was not disclosed; an approximate value of US$20 million was cited in the available reference material.

  Estimated transaction value. Approximately US$20 million (2000)

  Source

• 1999

  Divestment of Arutzei ZahavM&A

  Background

  Aurec held an interest in the Arutzei Zahav cable company as Israel’s cable television sector developed and consolidated.

  Action taken

  Aurec sold its holdings to partners Eliezer Fishman and Yedioth Ahronoth.

  Aftermath

  The reported consideration was US$40 million, and Aurec exited that cable-company investment.

  Reported transaction value. US$40 million (1999)

  Source

1. 1Aurec Groupen.wikipedia.org