Liberty to invest heavily in Chilean ops

27 Jul 2004

US communications giant Liberty Media has said that it will invest USD300 million over the next five years into its two Chilean cable TV subsidiaries VTR Globalcom and Metropolis Intercom, according to Business News Americas. The planned investment will cover the launch of telephone and internet services in 50 districts where the two companies currently offer only TV. It is, however, contingent on the two companies gaining approval from anti-monopoly regulator TDLC to merge. Chile’s fair trade office recently recommended the TDLC impose no fewer than eleven sanctions on the proposed tie-up, of which Liberty has rejected two. The first is the stipulation that the new company provide ISPs with access to its infrastructure, and the second that Liberty split the TV, internet and telephony operations into separate companies. Liberty has responded by saying that the latter condition would serve to eliminate the exact synergies it would be trying to achieve in enacting the merger.

Chile, VTR