Poju Zabludowicz's private investment group Tamares has been named the winning bidder by the government for Israel's second Mediterranean telecomes pipeline.

The country has been dependent on a single supplier for 15 years, so the news will be welcomed by consumers and internet users in particular. The cable is expected to considerably increase surfing speed and cut the cost of communications services. Thanks to an investment of hundres of millions of shekels,Tamares will lay an undersea communications cable and it is believed that this should begin serving the Israeli communications market within a year.

Tamares has significant interests in property, technology, manufacturing, leisure and media. The chairman of BICOM, Finnish-born Mr Zabludowicz is one of the UK's wealthiest businessmen, worth an estimated £1.5 billion, according to last year's Sunday Times Rich List.