Cable & Wireless Communications (CWC) yesterday announced the sale of its business in Bermuda to Canada’s Bragg Group for $70m (£43m).
The deal comes just three months after CWC said it would buy a majority stake in Bahamas Telecommunications Company (BTC), the state-owned mobile operator, for $210m to boost its Caribbean operations.
Bragg Group, a Canadian cable and telecommunications provider, will fund the deal – expected to close by the end of next month – with cash.
CWC, which also announced a share buyback of up to $100m yesterday, owns stakes in two international cable systems which land in Bermuda that are operated separately and not part of the transaction.
Chief executive Tony Rice said: “Bermuda does not fit our business model as it is not a full-service operation while BTC provides excellent opportunities and a strong strategic fit with our Caribbean business.”