Telefonos Celulares de Cuba

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Cubacel was initially a 50-50 joint venture between the state-owned company Etecsa and private investors to provide cellular phone services. Private partners included Canada-based Sherritt International Corp., which owned a 40% stake, and Mexican-based Timsa, which had a 10% holding. Cubacel holds exclusive rights to provide analog and digital cellular services in the 800-MH band throughout Cuba for 20 years. Cubacel started its commercial operations in 1993. The company had 3,000 subscribers 1997. In 2002, Cubacel received a $60 million credit from BNDES. In the fourth quarter of 2003, Etecsa agreed to buy out the private holdings of Sherritt and Timsa, for a total consideration of US$43 million. In December 2003, Etecsa finalized the merger by absorption of Cubacel. Etecsa thereby became the sole integrated wireline and mobile telecommunications operator in Cuba.