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Two weeks after it announced that it had acquired its fourth cable company, Matrix Entertainment and Communication, Flow has captured a fifth subscriber cable television operator, Jamaica Amalgamated Cable Systems (JACS).
Last Wednesday, the firm announced that it had acquired certain assets of JACS, located in St Catherine, which would put to five the number of cable operators acquired by the telecommunications company, "as part of its drive to offer comprehensive digital cable, landline and high speed internet service to customers". Two Fridays before, the company which form a part of Jamaican-Canadian billionaire, Michael Lee Chin's assets, said it had taken over Matrix a Hanover-based company. On that, the Broadcasting Commission had written to both Matrix and Flow about the legal position and instructed that if there has been any unlawful acquisition, stringent regulatory action will be taken. The regulator had received no application from the cable provider for approval of the sale. "The St James and Hanover licensee has not applied to the Commission for the necessary prior approval as stated in the Television and Sound Broadcasting Regulations", said a statement issued by the state agency on Monday. The regulations stipulate that "where there is to be a transfer of ownership or change of person in control of the business, the licensee shall, before the transfer or change is effected, first obtain the approval of the Commission." Added the Broadcasting Commission: "(The Commission) is advising the public that it has not approved any change of ownership or control of the cable company Matrix Entertainment & Communication Company Limited (Matrix)". Flow responded by saying it would co-operate with the Commission fully. On the most recent acquisition, JACS' managing director, Tony Graham said "the residents of Portmore, Hellshire and Spanish Town have been eagerly anticipating the triple play services" and that the capital injection to be provided by Flow was well needed to ensure greater consumer satisfaction. Flow's marketing director, Jean McPherson, noted that, as with Matrix, her firm will begin rolling out digital cable service "on a phased basis, on October 1. Flow started rolling out its triple play services - Internet, landline telephone and cable TV - in mid-2006, the same time it made the first of its acquisitions - SAUCE. Following the acquisition of SAUCE - the first of its purchases - in June last year, the company acquired D&L Satellite and Communications Network Limited based in Kingston and Northern Cable and Communication Network which serves Ocho Rios, St Ann's Bay and its immediate environs earlier this year. The acquisitions have enabled the company to grab up existing customers, providing immediate cash flow, while eliminating the competition pushed by the more than 50 cable companies in operations now. Currently, Flow supplies cable television service in Kingston and St Andrew, St Ann and St Mary, according to McPherson. She said that her firm plans "to blanket the island with its digital broadband network runs over a four-year period". She anticipates completion of this coverage by 2011. Flow is the brand name of Columbus Communications Jamaica Limited, a member of the Columbus Communications Group of Companies, which currently provides telecommunication services in 21 Caribbean countries. article link |