Cable & Wireless Communications Plc (CWC.L) announced 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 consideration will be paid in cash by Batelco upon completion of the transaction.
Cable & Wireless, or 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, or CMC, the company which holds 55% interest by Cable & Wireles in Monaco Telecom.
Cable & Wireless said the disposal accelerates the delivery of its strategy to reshape business, reduce geographic spread, and focus on the Central American and Caribbean region, as well as increasing financial flexibility.
Cable & Wireless and Batelco have also entered into certain put and call option arrangements over CWC's remaining 75% interest in CMC. The options will enable Cable & Wireless to sell, and Batelco to purchase, the controlling stake in Monaco Telecom for an additional consideration of US$345 million.
by RTT Staff Writer
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