Cable & Wireless demerger 'back on cards'
Telecoms company Cable & Wireless is said to be working on plans to offload its Cable & Wireless International business in a £3.6 billion demerger that it postponed last year. An announcement is expected this week to coincide with interim figures.
Plans to split Cable & Wireless International – which largely serves domestic customers in the Caribbean – from Cable & Wireless Worldwide, its British and European fixed-line operations servicing businesses, were put on hold amid the financial crisis last year, but improving market conditions have revived the plan.
Worldwide is now cashflow positive, giving hope it can stand alone, while International is said to have no shortage of suitors. Its management team are on a lucrative long-term incentive plan that could be boosted by any deal.
Full story at The Scotsman