Florida acquisitions due to lockdown on domestic wireless sector, CBL says

2 Dec 2013

Cable Bahamas Ltd (CBL) has confirmed that its recent expansion into the US cable market via the acquisition of four Florida-based providers, Marco Island Cable, NuVu, US Metro and Summit Broadband – the last of which was completed late last week – was prompted by the Bahamas Telecommunications Company’s (BTC’s) monopoly on the wireless market, preventing it from expanding into the cellular segment. CBL’s chief executive Antony Butler is quoted by the Tribune242 as saying: ‘Currently, we don’t have access to cellular, while our main competitor [BTC] has access to cellular [in addition to] all the services we offer, [including], video-on-demand (VoD) and TV. We look forward to the day when we can compete against our main rival in all areas.’

‘We could see we would not be in that full competitive situation by 2014 at least, so therefore the company had to make a proper decision for the benefit of our shareholders,’ Butler explained. The cableco’s expansion into Florida’s cable market cost USD100.29 million and CBL expects its US operations to generate 40.8% of revenues by 2017, or USD86.7 million of the company’s expected turnover of USD212.6 million for that year.

Bahamas, Bahamas Telecommunications Company (BTC), Cable Bahamas Limited (CBL, REV)