DIGICEL NOT PROGRESSING IPO AT THIS TIME
Tuesday 6th October 2015 – Hamilton, Bermuda: Digicel has decided not to proceed with its planned IPO at this time.
Despite significant support for the IPO from a high quality group of investors during the marketing period, current conditions, particularly in emerging markets, have impacted transaction momentum over recent days.
Commenting, Denis O’Brien, Chairman, Digicel said: “Given our growth outlook, an IPO for Digicel was optional and predicated on achieving fair value for the company. Recent volatility in equity markets has seen a number of IPOs listing at a discount to their signalled price range and this was a less attractive route for us.”
“Digicel is now at a key juncture in our growth story following a $1.5 billion investment programme over the past three years; we generate strong and growing free cash flow and we have no material debt maturities until 2021. Our growth plans remain unchanged and we remain in a strong position to exploit areas of interest in: Data, Business Solutions, Cable TV and Broadband.”
Digicel Group Limited (Digicel) is a leading provider of communications services in 31 markets in the Caribbean and South Pacific regions, where the company provides a comprehensive range of Mobile Communications, Business Solutions, Cable TV & Broadband and other related products and services to retail, corporate (including small- and medium-sized enterprises) and government customers.
Digicel offers HSPA+ or long-term evolution (LTE) mobile technology (4G) in 30 markets and holds the number one mobile market position in 21 markets, with a mobile subscriber market share of more than 50% in 20 markets, as determined by internal company data.
Digicel launched mobile services in Jamaica, its first market, in 2001 and became the market leader there within 15 months of launch, based on a strategy that Digicel has since replicated successfully in several other markets. Digicel’s mobile subscriber base has grown from 0.4 million as of March 31, 2002 to 13.6 million subscribers as of March 31, 2015, representing a compound annual growth rate of 32.3%.
Digicel runs a host of community-based initiatives across its markets and has set up Digicel Foundations in Jamaica, Haiti, Papua New Guinea and Trinidad and Tobago which focus on educational, cultural and social development programs. Digicel is the lead sponsor of Caribbean, Central American and Pacific sports teams and individuals including the world’s fastest man, Usain Bolt, and Special Olympics teams throughout these regions. Digicel also sponsors the West Indies cricket team.
For more information, visit www.digicelgroup.com