Cable & Wireless sells Macau stake to China for £460m
(Guardian Web Via Acquire Media NewsEdge) Cable & Wireless Communications has heralded the completion of the corporate restructuring that has been under way since its de-merger from the wider telecoms group two years ago by selling its Macau business to a Chinese-government controlled operation.
The C&W chief executive, Tony Rice, described it as a "landmark day" as he announced the $750m (£460m) sale of 51% of the Macau operation to Citic Telecom, part of a business owned by the Chinese government.
Rice, who said there were no imminent plans to move the headquarters from London to the Caribbean, where its largest operations lie, added that once it had completed the sale of its business in Monaco it would end up with a positive cash position.
This would facilitate investment in the Caribbean and central American countries where CWC has been focusing its business since the de-merger in 2010 that also created Cable & Wireless Worldwide, now part of Vodafone.
Rice indicated that he expected the Caribbean and central American businesses to operate in a "more unified way". "The disposal, when combined with our agreement to sell our Monaco business, is in line with the strategy we set out at our de-merger in 2010.
"Following completion of these transactions, we will be a focused pan-American regional operator, with a strong balance sheet, and we intend to pursue new growth opportunities, both organic and inorganic, in this region," he said.
(c) 2013 Guardian Newspapers Limited.
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