C&W NETS USD630M (EURO 602,69 MILLION) IN ISRAELI STAKE SALE.

CABLE AND Wireless, Britain's second-largest telecommunications business, is to sell its 13 per cent stake in Bezeq Israel Telecom, the state-owned Israeli phone company. The sale, to an Israeli investor for USD630 million (Euro 602 million), marks an admission of failure in its original plans to take control of the business. C&W said yesterday retaining the stake did not fit with its strategy of focusing on Asia, the US and Europe, and on business customers. It is to exercise its option to acquire a further 7 per cent of Bezeq with the intention of selling those shares too.The Israeli government is due to sell down its 54 per cent stake in Bezeq and several companies have indicated they are interested in launching bids. "Our decision to sell results from our primary focus on Internet Protocol and data services for business customers for our future growth," said Don Reed, chief executive officer of C&W's regional business. "With strong demand for Bezeq shares ahead of the privatisation of...