BTL-Speednet Acquisition Fails to Win Cabinet Support
Just before news time, Cabinet dropped a major decision on one of the most debated corporate deals in the country: it does not support BTL’s proposed acquisition of Speednet. The question tonight is whether planned NTUCB protest actions will be called off or if they are still on, considering Cabinet’s latest decision? In a release issued this afternoon, Cabinet acknowledged that the deal had become a matter of national concern and said it had a responsibility to carefully review the information before it. It also pointed to the fact that government, the Social Security Board, and the Belizean people are majority owners of BTL. Cabinet says it listened to concerns from ministers, social partners, the media, and the public before arriving at its position. Moments after the announcement, News Five spoke exclusively with Prime Minister John Briceño.
On the Phone: Prime Minister John Briceño
“Well we had set up a process as I explained on Tuesday. On Tuesday we had Social Security, PSU and BTL to Cabinet so that they can explain their thought process and why they believe this merger makes sense and is important to them. Cabinet had the opportunity to ask all the questions. It is important, we believed and incumbent on us to listen to NTUCB and the Chamber. It is unfortunate that they decided that they did not want to speak to us or making requests that was beyond our control. The idea was that we would have met today and then on Tuesday Cabinet would have deliberated. Of course, I had announced that I would have not been a part of the deliberations. Since we were unable to meet with them or I believe they did not act in good faith, this morning I started to consult with a few members of Cabinet and while there is a general consensus that this makes good business sense, Cabinet felt that it does not make sense to be able to get into a back and forth with people that refuse to engage constructively. So we felt that it is best to advice BTL that we should not proceed with the merger.”
Isani Cayetano
“Does this mean that this decision is not final, that it will not be revisited down the road?
On the Phone: Prime Minister John Briceño
“In life you never say never, but I will tell you right now presently this is a final decision from Cabinet that we should not proceed. So that is where it is right now.”
Isani Cayetano
“Can this decision be seen as the Briceno administration acquiescing to the will of the people?”
On the Phone: Prime Minister John Briceño
“Well, we represent the people and we must listen at all time. There are times we believe we need to make informed decisions and at times you feel that it is not worth it and in this instance I am in an unenviable position because my brother is involved, so I can’t say much. I can’t deal with it much. So I am of the opinion that it is best to leave it as it is. So I am sure BTL will inform Speednet that we will not proceed with the acquisition.”
Cabinet Backed Off, But Opposition Leader Panton Says Stay Alert
Cabinet may have backed away from the proposed Speednet acquisition, but Opposition Leader Tracy Panton says Belizeans should not stand down just yet. Panton is welcoming Cabinet’s decision to pull its support, calling it proof that public pressure can make a difference. But she warns that the deal is not officially dead until the Public Utilities Commission and other key players close the door on it. For now, Tuesday’s planned protest remains on the calendar, though Panton says that could change if there is clear confirmation in the coming days that the acquisition is fully off the table.
Tracy Panton, Leader of the Opposition
“The power lies in the hands of the people. The voices of the people matter. And if we have not taken anything from this, from this experience, is that when the people come together it forces a government to listen to the collective wisdom of the people.”
Shane Williams
“Now what’s to stop government from saying that now, this is a private decision, and the deal is actually not dead based on a Cabinet press release.”
Tracy Panton
“So I think that is where we need to be cautious. I think that the deal may not require the approval of Cabinet. The matter of the acquisition needs to go before the Public Utilities Commission. And I thought the press release was carefully written to indicate that it did not say the acquisition is off the table. What it said was that Cabinet was not going to lend its support to the acquisition. But there are legally structured entities, the PUC being one of them, that would have to do the proper due diligence. We assume that the professionals on the PUC are not acting on direction, but are acting on what is before them legally. So it’s going to be interesting to see what the next steps of this proposed acquisition looks like. If it is now completely off the table or if there is going to be further follow up with the other regulatory entities that have an obligation to take this matter into account.”
Attention readers: This online newscast is a direct transcript of our evening television broadcast. When speakers use Kriol, we have carefully rendered their words using a standard spelling system.
Watch the full newscast here: