Caribbean-focused operator Digicel is reportedly one of five bidders interested in acquiring Orange Dominicana.
French incumbent Orange confirmed it was reviewing its Dominican Republic business in July following a report earlier that month that it was…
Caribbean-focused operator Digicel is reportedly one of five bidders interested in acquiring Orange Dominicana.
French incumbent Orange confirmed it was reviewing its Dominican Republic business in July following a report earlier that month that it was looking to appoint an adviser for a sale.
The subsidiary could fetch as much as US$1.3bn, according to a person with knowledge of the matter cited by Bloomberg.
In Orange’s Q2 conference call, CFO Gervais Pellissier said that a sale process would likely take a few months.
Today an Orange spokesperson reaffirmed the sale process is ongoing and said potential buyers had been invited to submit offers, but added that it had other options aside from offloading the company.
Cable and Wireless Communications (CWC) and Millicom have been touted as potential buyers, but Digicel is rumoured to be the lead bidder. The privately-held Irish group, headed by Denis O’Brien, operates in 24 Caribbean markets including in neighbouring Haiti. Digicel declined to comment on the report.
CWC, which also declined to comment, has set its sights on expanding in Central America and the Caribbean and has an eye on inorganic opportunities.
Orange Dominicana is the French group’s sole operator in the Americas. Orange’s focus is mainly on EMEA but also has operations in Vanuatu.
The Dominican unit offers 2G, 3G and 4G wireless services as well as internet access, which generated US$544m in revenue last year.
Orange Dominicana is behind market leader America Movil’s Claro in terms of subscribers but ahead of Tricom and Viva.
