Nearshore Americas

Liberty Global Shakes Up LATAM Cable Market

Liberty Global, the largest cable provider in Europe, just finalized a $5 billion purchase of Cable and Wireless Communications that will push it deeper into Latin America. According to Bloomberg, Liberty now has $8.4 billion of its valuation (roughly 11% of the company) in the region as the deal adds Colombia and Peru properties to the operations it already has in Puerto Rico and Chile. The move will “set off a wave of deal-making in the region” as the cable operator first looks towards organic growth in a broadband market with room to grow before, presumably, selling off assets down the line. Bloomberg notes that “recouping network investments takes longer” in Latin America due to lower purchasing power of households, but there is no debating that Liberty’s entrance will reshape the playing field.

Jared Wade

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