BTL’s Chief Financial Officer Says Consolidation Benefits Every Belizean

After weeks of public scrutiny and street protests over the proposed consolidation of Speednet, today BTL stepped forward with its side of the story. In an exclusive briefing, the company laid out the same presentation now being shared with Cabinet, social partners, stakeholders, and shareholders. BTL’s Chief Financial Officer, Ian Cleverly, says the eighty‑million‑dollar transaction is about long‑term gains for consumers, employees, and minority shareholders. According to Cleverly, when you look at the numbers, the investment makes sense.

 

Ian Cleverly, Chief Financial Officer, Belize Telemedia Limited

“This is a positive transaction. This is driving consumer benefit. Is driving returns to our shareholders, particularly as minority shareholders. It’s a positive transaction for our employees and it’s also a positive transaction for the government. Consumers will benefit from this transaction. We are looking to put consumer protection points in place to ensure that consumers are winners in this transaction.  The financial summary of this transaction, the investment payback, the discounted payback period for the 80 million investment, 4.2 years dividend growth. Dividends to shareholders are projects to increase with inclusive synergies. The increase available cash flow. Once trans, this transaction happens, BTL is able to support stronger shareholder returns. That’s the minority shareholders. That’s the large shareholders, and also our employees and the minority shares are 1500 minority shareholders. 2200% increase return to shareholders on a $5 share. These returns are very strong, which is why the transaction makes sense. The duplicated infrastructure, the wasted duplicated assets, consumers are paying for this. Consumers are paying the price for duplicated infrastructure.”

 

Shane Williams

“Tell us about the goal of reaching those four, three communities and how are they being left out at the moment?”

 

Ian Cleverly

“So the economic returns to go and build infrastructure in these very remote areas is a long payback. Companies look at their financial returns and see where it’s viable commercially to actually build infrastructure. Telecoms is expensive to roll out network infrastructure and it doesn’t make commercial sense. This transaction enables us to redeploy those assets that SMART has and also BTL to enable us to roll those networks sites out to those areas at a much reduced cost, which increases the payback. We’re estimated that 18,000 people, when we roll out this new infrastructure will gain access to telecom services that don’t have it today.”