Excite@Home is merging its international operations with Amsterdam-based cable operator UPC, part of UnitedGlobalCom, to form a broadband company called Excite Chello. The merger combines UPC's chello broadband subsidiary, which has access to broadband networks in Europe, Asia and Latin America with Excite@Home's international units. Excite will provide consumer content for the Excite Chello service. The combined company will operate in 15 countries with exclusive rights to deliver broadband Internet services to more than 30 million cable homes. Liberty Media has agreed to invest $187 million in the new company, while Excite@Home and UnitedGlobalCom have each committed to invest $93.8 million in the new venture. The merger is expected to close by yearend.
Copyright July 2000, Crain Communications Inc.