Digicel quarterly service revenues down 2% to USD538m

6 Jul 2021

Irish-owned, Jamaica-based Digicel Group has reported service revenues of USD538 million for the three months ended 31 March 2021, down 2% on an annual basis. EBITDA dropped 3% to USD253 million, as the COVID-19 pandemic continued to weigh on the business. The financial data has been reported by the Irish Times following the telco’s quarterly earnings call with its creditors. Digicel ended the quarter with a total of 13.1 million subscribers, while its net debt amounted to USD5.36 billion.

Meanwhile, Denis O’Brien refused to be drawn on the status of its Digicel Pacific business, which was put up for sale last year. He told creditors that the unit is ‘a highly attractive and strategic business’ and that he remains ‘very comfortable’ with its current performance and status. He added that Digicel would not be commenting further unless there was a ‘notifiable event’.

According to the Times, which cites sources with knowledge of the matter, ongoing COVID-19 travel restrictions across the region have made it difficult for suitors to carry out site visits, effectively derailing the process – for now at least. Multinational investment bank Citigroup has been tasked with finding a buyer for the assets, after Digicel received ‘unsolicited approaches from a number of parties’ last year. Citigroup believes that the company is worth around USD2 billion, while a 2020 liquidation analysis by KPMG valued Digicel Pacific at just USD615.2 million.

Ireland, Jamaica, Digicel Group