VTR to merge with Metropolis by 2006

17 Mar 2005

Chilean CATV and telephony operators VTR and Metropolis have revealed firm plans to merge into a single company which will be launched next year, following court approval of the companies’ proposal. BNamericas reports that the main reason for the merger is to increase efficiency, as the two operators’ networks currently overlap considerably. The consolidated venture will account for around 10% of local telephony subscribers and up to 90% of cable customers; it plans to invest USD100 million in five years to expand VoIP services to two million households. The two companies have not decided on a brand name for the new venture, but there is a possibility for both existing brands to remain in existence.

Chile, VTR