Cable & Wireless Communication (CWC) has confirmed press reports that it has received an approach from Bahrain Telecom (Batelco) for its Monaco & Islands business unit.
 
Reuters reported that the two companies are in talks regarding the sale of CWC’s mobile, broadband and TV assets in Monaco and 12 so-called 'island markets' in a deal potentially worth US$1 billion.
 
However, CWC suggested that receiving the offer was no guarantee of a sale. “At this point, there can be no certainty that the discussions will lead to a transaction”, a company statement said, adding that a further announcement will be made if appropriate.
 
The Monaco & Islands business unit has 543,000 subscribers, according to Reuters. As well as Monaco Telecom, the division includes operations in the Maldives, Seychelles, Falkland Islands, British Channel Islands and the Isle of Man. Monaco Telecom also holds a 36.8 percent stake in Afghan operator Roshan.
 
BNP Paribas and Citigroup are advising Batelco regarding the transaction, with CWC receiving advice from JP Morgan Chase, Reuters sources have said.
 
Bahrain-based operator group Batelco saw talks to buy a stake in Zain Saudi collapse last year. The company’s CEO told Reuters earlier in the year that it is aiming to make one acquisition in 2012 to offset falling domestic revenue.