Cable Bahamas subsidiary gaining systems in Southwest Florida

Posted on Sep 9, 2013 in Industry News

A subsidiary of Cable Bahamas has acquired Bonita Springs-based fiber-optic network operator US Metropolitan Telecom.

The deal was reached as the cable company said it also is looking to buy Marco Island Cable; NuVu, which is the Naples-based cable affiliate of Marco Island Cable; and Orlando-based Summit Broadband.

Terms of the deal for Summit Vista LLC, a wholly owned subsidiary of Cable Bahamas Ltd., to acquire US Metro weren’t disclosed.

“The most significant benefit of this transaction to US Metro is that the company will have access to a much larger pool of capital and technical capabilities to support the ever-increasing demand for broadband services by business customers,” said Frank Mambuca, president and CEO of US Metro, in a prepared statement.

Summit Vista will support the merged companies by investing more than $90 million to connect and grow the first phase of its service in the U.S., according to a prepared statement.

“The (planned) merger with Marco Island Cable and Summit Broadband, under the auspices of a strong public company, will ensure that US Metro has the financial and operational resources to continue to lead the market in delivering the highest quality broadband telecommunications services, including the fastest, most cost-effective high-speed Internet, data, voice and video services in Southwest Florida,” Mambuca said.

The proposed transactions would centralize Summit Vista’s initial U.S. expansion in Florida. The combined companies will do business as Summit Broadband, according to an August corporate statement about the deal.

Bill Gaston, president and CEO of Marco Island Cable and its new fiber optic phone, Internet and TV service called NuVu, said this week there is a stock purchase agreement but he couldn’t immediately release any other information about the pending deal.

“We are just waiting to hear from them,” Gaston said.

Marco Island Cable and NuVu have about 16,000 Collier County customers. Marco Island Cable delivers digital television, high-definition and two-way broadband Internet services. Under its NuVu brand, Marco Island Cable has been a technology leader with the first fiber-to-the-home solutions delivered by a franchise operator in Southwest Florida, Marco Island Cable company officials have said.

US Metro, with a headquarters in Bonita Springs, was the first alternative telecommunications company in Southwest Florida providing competitive services using a 100 percent Fiber-Optic Cable network, a company statement said.

US Metro provides Internet, data and voice communications services to Southwest Florida businesses and to national telecom carriers. It’s expanding into video services.

Customers of US Metro will see few changes to its strategy and pricing, its company officials said.

“The main winners in this transaction are our customers,” Mambuca said in a statement.

The headquarters building in Bonita Springs will become the Southwest Florida headquarters for Summit Broadband. Mambuca will remain with the combined companies and become the president of Summit Broadband’s Southwest Florida Division, according to the announcement about the US Metro acquisition.