US telecommunications company Liberty Global completed the acquisition of telco Cable & Wireless Communications (CWC) from the UK for USD 5 billion. The value of the company includes CWC’s net debt, the market value attributed to all Liberty’s share classes and a dividend paid to the British company.
“If we look at mobile data, broadband data, Pay-TV, or smartphone penetration in Latin America and the Caribbean and we compare it to the US and Europe, it’s clear that there’s a great opportunity to bring investments and innovation to this region of the world and we’re excited to do that”, stated Liberty CEO Mike Fries, at a press conference.
In its financial balance for the first quarter of 2016, Liberty reported revenues of USD 304 million for its operations in Latin America (Lilac Group), representing an increase of 6% compared to the same period of 2015. Sales of VTR from Chile were of USD 200 million (+8%) while Cablevision from Puerto Rico had revenues of USD 104 million (+3%).
Liberty will add Pay-TV, internet and telephony operations that CWC has in Panama and, through the Flow brand, in the Cayman Islands, Barbados, Jamaica, Trinidad and Tobago, Curacao, Granada, Saint Vincent and the Grenadines, Saint Lucia and Antigua. In addition, via BTC in Bahamas (only phone and internet) and in Colombia, Peru, Guatemala, Honduras, El Salvador, Costa Rica and the Dominican Republic (only business data services through C&W Networks).