Cable & Wireless Communications announced that it has agreed with Batelco Group the sale of the majority of the businesses within its Monaco & Islands division for an enterprise value of US$680 million (the “Disposal”).
CWC will divest its entire shareholdings in its businesses in the Maldives, Channel Islands and Isle of Man, the Seychelles, South Atlantic and Diego Garcia as well as a 25% shareholding in Compagnie Monegasque de Communication SAM (“CMC”), the company which holds CWC’s 55% interest in Monaco Telecom. The Disposal accelerates the delivery of CWC’s strategy to reshape its business, reduce its geographic spread, and focus on the Central American and Caribbean region, as well as increasing the Company’s financial flexibility.
Tony Rice, CEO of Cable & Wireless Communications, commented “The disposal of the Monaco & Islands portfolio is consistent with our objective of building a growthdriven, Pan-America focused business. The Monaco & Islands portfolio is a premium telecoms business and we are pleased to have agreed a deal that achieves an attractive value for our shareholders. We believe that Batelco will be an excellent owner and operator, bringing deep telecoms capability and international experience, and will continue the development of the businesses. The disposal will substantially reduce the geographic spread of our Group as well as increasing our financial flexibility. We will continue to operate the Monaco Telecom business, with the option to crystallise the second stage of the transaction if necessary consents are obtained.”