The Financial Gleaner understands that a consortium is interested in acquiring telecoms company Centennial Digital Jamaica's (CDJ) remaining interest in Jamaica and that it is some US$10 million short in meeting the asking price.
Centennial acquired a CDMA licence almost two years ago and were aiming to have 47,000 customers in its first year of operations. However, the telecoms company has failed to get going with its competitors Digicel and Cable & Wireless having a customer base of over 400,000 each. Centennial has also encountered insurmountable obstacles in erecting the required signal towers for its operations. CDJ's interests are represented by local attorney Harold Brady. Among the players exhibiting an interest in acquiring Centennial's interest in Jamaica is a former Cable & Wireless executive.
Negotiations are currently taking place to have the United States-based Oceanic Digital Communications acquire the remaining 51 per cent interest in mobile telephone provider, Centennial Digital Jamaica.
Principals of Centennial Digital Jamaica were not reached for comment yesterday, but a source close to the negotiations said the new company was expected to continue operating the cellular service in Jamaica.
Centennial Communications, another U.S.-based firm, is the parent company of Centennial Digital Jamaica. Oceanic Digital owned 49 per cent interest in the local firm, while Centennial Communications owned the remaining 51 per cent.
Two years ago, Centennial Communications agreed to inject $215 million into the operations of local Internet service provider, InfoChannel in exchange for 40 per cent of the Jamaican company's issued share capital.
InfoChannel's chief executive officer, Patrick Terrelonge, told the Financial Gleaner yesterday that the investment had no structural or direct relationship with the cellular operation. Therefore, any change in the mobile company's operation would not affect InfoChannel's venture.
