DALLAS--(BUSINESS WIRE)--Sept. 7, 2004--Hicks, Muse, Tate & Furst Incorporated ("HMTF") today announced the signing of a definitive agreement under which it will acquire Centennial Puerto Rico Cable TV Corp. ("CCTV"), a wholly owned subsidiary of Centennial Communications Corp. (Nasdaq: CYCL), of Wall, N.J., in an all-cash transaction valued at approximately $155 million. CCTV is HMTF's eleventh cable platform acquisition since its first such transaction, Marcus Cable, in 1995.
CCTV offers cable television and high-speed cable modem service to a service area comprising approximately 305,000 contiguous homes throughout southern and western Puerto Rico, an area that includes the island's second- and third-largest cities, Ponce and Mayaguez. CCTV currently serves more than 73,000 cable and 5,000 Internet subscribers. Completion of the transaction, which is subject to FCC review and regulatory approval of the transfer of CCTV's cable franchise licenses, is expected to occur in early 2005.
John R. Muse, a founding Partner and the Chairman-designate of HMTF, said: "CCTV is an attractive opportunity to leverage our extensive experience investing in cable properties around the world. It is an established cable television platform to which we can add value in a number of ways through the implementation of our proven buy and build strategy."
Peter S. Brodsky, a Partner of HMTF, said: "By providing outstanding customer service, a wide selection of video channels and a robust high-speed data product, we believe that we can improve CCTV's penetration rate and increase the number of services provided to its customers, allowing CCTV to achieve its significant growth potential.
"We look forward to working with the CCTV management team, under the leadership of General Manager Edwin Stevenson, and in partnership with highly experienced HMTF-affiliated cable executives who will work with the company on an interim basis, to realize CCTV's potential," Mr. Brodsky said.
With approximately $11 billion under management, HMTF since 1989 has completed or currently has pending more than 400 transactions with a total capital value of approximately $50 billion. The firm is among the world's largest private equity investors in cable and media businesses, with current or past investments in Marcus Cable, Persona Inc. (Canada), Mandeville Cable (Argentina), Aster City Cable (Poland), Davivo International--which has joint or sole control of the Latin American MSOs CableVision (Argentina), InterCable (Venezuela), TV Cidade (Brazil), and Teledigital (Argentina)--and Grupo MVS Comunicaciones (Mexico). HMTF's principal offices are in Dallas and London.
Kekst and Company
Roy Winnick or Mark Semer
212-521-4842 or 4802