Liberty completes acquisition of Cable & Wireless
Liberty Global has completed acquisition of Cable & Wireless Communications Plc, a deal said to be worth US$7.4 billion.
CWC businesses will fall under the LILAC Group, which encapsulates Liberty’s operations in Latin America and the Caribbean.
The combination grows LiLAC’s customer base to 10.049 million, spanning mobile and telephone, video, and broadband subscribers. Total assets are valued at US$10.2 billion.
“This is a big moment for us and I couldn’t be more excited about the potential of LILAC and CWC together. We are joining two high-growth businesses in a region that is both underpenetrated and underserved in broadband, mobile data and pay TV services,” said Mike Fries, CEO of Liberty Global. “By combining our operations, we are creating a unique and well-diversified Latin America and Caribbean investment vehicle, which we believe will enhance long-term equity value for our shareholders,” he said.
Liberty is projecting that the expanded LILAC Group will generate around US$3.5 billion of revenue annually in 20 markets.
Liberty also announced that Phil Bentley has stepped down as CEO of CWC, while John Reid has been named interim CEO.
LILAC trades on the Nasdaq Global Select Market as a tracking stock of Liberty Global.