Melita Cable, the first cable television service provider set up more than 16 years ago, was officially sold yesterday to GMT Communications Partners for a staggering EUR167 million.
Gasan Group chairman Joe Gasan said GMT Communi-cations Partners, which operates another 17 telecommuni-cations companies in Europe, will give another breath of fresh air to Melita Cable, which will continue to meet and exceed customer expectations.
GMT has purchased 100 per cent of the shares, but the Gasan Group will now purchase back a minority shareholding of 15 per cent.
Mr Gasan pointed out that Melita Cable’s first cable television customer was connected in June 1991 after the company signed an agreement with the government to provide quality home entertainment.
Looking back at 16 years of operation, and the target set when the company was set up, Mr Gasan said the company had accomplished its mission.
Over the years, it has managed to attract 100,000 television customers, 37,000 subscribers to its internet service and 20,000 subscribers to its telephony service, which was launched only last November.
“Today we have passed on the reins of the company to GMT Communications Partners and the company, I am confident, will continue to grow from strength to strength. Like us, I am sure that these investors will be proud of the company and its talented people who, together, will meet and exceed customer expectations,” Mr Gasan said during the signing of the final documents of the takeover.
Mr Gasan said that next Wednesday the company will be launching the trial period for high definition TV, which will be officially launched in December.
Concluding, Mr Gasan said: “Melita faces the future with optimism. It is very well prepared to face the challenges ahead and take advantage of the opportunities that come its way.”
One of GMT’s partners, Massimo Prelz Oltramonti, said they had found a strong company capable of reaching high standards. He said they were impressed with the market position that it had managed to achieve in 16 years.
He said that while he acknowledged “mission complete” in the field of cable television, he still believed that a full new mission had to start on the provision of broadband and telephony. “We are investing to get Melita to the next stage,” he said.
Asked what prompted the Gasan Group to sell Melita Cable, Mr Gasan explained that Melita Cable was owned 50-50 by the group and a US company, Liberty Global International. The group’s international partners were considering moving on with their business so the group had to decide whether to sell or remain as they were. A decision had been taken to sell. More than one party was interested, but negotiations had been concluded with GMT.
Mr Gasan said he would be staying on as the company’s chairman for another year, after which the chairmanship would move to Mr Oltramonti.
Asked whether this sale would affect customers, Mr Gasan said this was just a sale of shares so technically customers should not be affected. However, he said they would be positively affected indirectly, because the new investor had the money to invest more in the products, thereby improving them.
About investing in Malta, Mr Oltramonti said: “Malta is no longer just an island. Malta is in Europe and will soon adopt the euro. We are happy to invest here. It is a good sign of how positively we look at the country and its economy.”