CWC confirms it will offload TSTT stake to complete Flow takeover

19 Mar 2015

Cable and Wireless Communications (CWC) has confirmed that it will offload its 49% stake in Trinidad & Tobago’s incumbent PSTN operator TSTT within 18 months in order to comply with conditions placed on its planned takeover of triple-play operator Columbus Communications (Flow) by the Telecommunications Authority of Trinidad and Tobago (TATT) last week. As reported by the Trinidad Express, UK-backed CWC said it received the letter sent by the TATT on its merger with Columbus Communications, and said it ‘fully recognised that our shareholding in TSTT would need to be neutralised either by a blind trust or by disposal of our shares, matters that were previously considered by the company. We look forward to working with the majority shareholder, [government-owned] National Enterprises Ltd (NEL), to agree a fair process for disposal, as embodied in our existing Shareholder Agreement, and are supportive of a disposal process that permits an orderly sale to be concluded in a period of not more than 18 months.’ It added: ‘Additionally, we are confident that our shareholding in TSTT will prove attractive to a number of investors … we have ambitious plans for our Flow business in Trinidad & Tobago and intend to make investments in rolling out high speed broadband across the country’, CWC stated. The company plans to build a new data centre to host its growing B2B Managed Service offering, as well as expand its Network Operations Centre, and open a Technology Centre, creating additional jobs to the over 800 staff already employed, it added. ‘We look forward therefore to meeting the required conditions precedent shortly and receiving consent for the change of control in Flow T&T’s licences,’ CWC declared.