By Raymond Hainey From The Royal Gazette

KeyTech buys Cayman TV firm

Telecoms firm KeyTech has bought a TV firm in Cayman — and sold off BTC for $30 million.

KeyTech’s subsidiary WestTel Ltd (Logic Cayman) has bought up British Overseas Territory Cable & Telecommunications Ltd, (BOTCAT) which owns Cayman firm WestStar TV and also holds a stake in Bermuda’s CableVision.

The move means KeyTech will now have a controlling interest in CableVision and own WestStar TV outright, as well as becoming the biggest provider of subscription TV in the Caymans.

KeyTech CEO Lloyd Fray said: “The sale of BTC and the acquisition of BOTCAT are transformational transactions for KeyTech.

“We will now have the ability to offer superior triple-play services, which are telephone, internet with access and television, in both Bermuda and Cayman.”

And he added that the CableVision network could be expanded to offer more high speed broadband services, as well as offer better TV services through its internet protocol TV platform.

Mr Fray added: “Likewise in Cayman this acquisition will position Logic as the largest provider of subscription television while they continue to build their fibre to the home network and convert customers to high speed broadband and internet protocol TV.”

The acquisition will be financed through debt and equity, with KeyTech taking on nearly $70 million in debt and issuing more than 2.4 million KeyTech shares to BOTCAT.

The stake in BTC, sold at below book value, has been bought by Bermuda-based investment firm Barrie Holdings.

New BTC executive chairman Roy Graydon said: “Bermuda is a unique market filled with incredible potential, making the decision to invest in it an easy one.

“We will continue to upgrade local infrastructure and ensure it exceeds the expectations of our customers.”

IMAGE: Television Centre (CITN/WestStar Grand Cayman)

For more on this story go to: http://www.royalgazette.com/article/20140903/BUSINESS/140909923