Jersey’s state-owned full-service telco JT could be sold to private investors or carved up into retail and wholesale divisions, the Jersey Evening Post has reported. Last month Treasury Minister Alan Maclean, who acts as shareholder representative for the company, revealed that he was considering selling off the state’s assets, such as JT. He estimated that selling JT to a private firm could raise between GBP300 million (USD395.5 million) and GBP400 million.
The development has prompted Senator Sarah Ferguson to call for the state-owned telecoms company to be restructured and divided into a retail operator and an infrastructure company. In her proposition she said: ‘Given the present financial constraints of the island, it is not surprising that the Council of Ministers are contemplating the sale of JT. What is clear from the strategy is that the best value for the island is obtained from separating the wholesale and retail sides of the company … Firstly, this would enable there to be a properly competitive retail sector for telecommunications. The retail side of the business could be sold or even floated on the CI Stock Exchange to raise funds. Secondly, there are significant future growth prospects in the wholesale side of the business. Also, if we sell the wholesale business, then we are effectively selling the family silver.’