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ICE Competes For Purchase Of Cablevisión

The state telecom is serious of entering the cable television market

The Grupo ICE intends to venture into the cable television business, making a bid to buy Cablevisión.

The move was confirmed by Orlando Cascante, manager of the Radiográfica Costarricense (Racsa), and Leyda Lombana, CableVisión’s general manager.

Neither Racsa or CableVisión would reveal details, saying that negotiations are ongoing and it is not opportune to say anything until the deal is done.

However, Racsa’s parent company, the Institutio Costarricense de Electricidad (ICE) faces competition. Lombana said there are other suitors for CableVisión, at least two others, but did not name them.

The manager would neither specify the selling price and the offers of the bidders.

Negotiations for the purchase of CableVisión are expected to continue for some weeks with a target date of the end of February to ink a deal.

For his part, Cascante would not provide details of ICE’s plans for the purchase or its entering the cable television market, only saying that the negotiations are being handled by ICE officials and not Racsa.

“Racsa would be assigned the administration of the cable company, but the muscle of acquisition is with ICE”, said Cascante.

While ICE negotiates with CableVisión it is readying its infrastructure, that includes the announcement of the signing of agreements with the Empresa de Servicios públicos de Heredia (ESPH) and the Cooperativa de San Carlos (Coopelesca), to use its fiber optic network.

Although details are sketchy, the agreement calls for Racsa to provide the cable television service while the companies provide the customer end connections.