LONDON (SHARECAST) - Cable & Wireless Communications, the international mobile communications networks operator, has confirmed press reports that it is in talks over a possible disposal of its Monaco & Islands business unit.
The Financial Times (FT) reported that the Bahrain Telecommunications Company (Batelco) made an approach for the business unit which, as well as Monaco, includes operations in various islands, among them the Maldives, Seychelles and the Falkland Islands.
The FT has speculated that the long-mooted sale of the business could raise as much as $1bn for C&W Wireless, which bit the bullet earlier this year and announced plans to halve its dividend, as it struggles against strong headwinds in its Caribbean market.
C&W Wireless released little information about the potential deal.
"Further to recent press speculation, Cable & Wireless Communications Plc today confirms that it has received an approach from Batelco Group regarding a possible transaction involving its Monaco & Islands business unit," the statement said, before adding the usual caveat about there being no certainty that the discussions will lead to a transaction.
Shares in the stock rose 1.55p to 38.08p on the news.