Regional interest in acquiring telecommunication company UTS
WILLEMSTAD - The International telecommunications companies Digicel and Cable & Wireless Communications (CWC) have both expressed an interest in a strategic partnership with the telecommunication company UTS. This is in a leaked letter from UTS Director Paul de Geus.
In the letter De Geus urges both the governments of Curaçao and St. Maarten, the shareholders of UTS, to convene a shareholders' meeting as soon as possible on this matter.
The letter is dated January 28 and addressed to Minister Earl Balborda (Traffic, Transport and Urban Planning) and the Minister of Sint Maarten Dennis Richardson (Justice), which is in charge of telecommunications in the Windward Island. The immediate reason for the letter is the fact that UTS shareholders’ meetings, scheduled for December 2014 and January 2015, did not proceed.
De Geus states in his letter that the search for a strategic partner for UTS should be addressed with the necessary diligence, if the shareholders want to exploit the current opportunities. He mentions the acquisition of Columbus, in Curacao known as Flow, by CWC, which created a competitive battle between CWC and Digicel, the other major player in the Caribbean.
At the present moment, both Digicel and CWC are looking for potential acquisition and cooperation partners in the Caribbean, according to De Geus. “Curaçao must act now,” said the UTS Director. “If we wait too long, they will find in Curacao other partners who can complement and strengthen their service to this country. The attractiveness of UTS will then decrease.”