Teleconnect, a telephone operator specialised in Island and Coasts, have delayed their foreseen capital increase of between eight and ten million euros (between 1,331 and 1,663 million pesetas) “at least until June next year because market conditions are not favourable” according to Teleconnect general manager, Juan Miguel Hitos.
Meanwhile, the current partners will supply between two and three million euros ( between 332 and 499 million pesetas) to expand into Vigo, Asturias, Valencia and the Canaries.
By postponing the capital increase, the firm has had to restrict its growth – it wanted to reach all the coast and islands in 18 month – and has had to reduce its invoicing forecasts of 4,000 million pesetas (24 million euros) to 1.900 million pesetas (11.4 million euros). Offsetting this, this quarter the company has achieved a positive Ebitda ( gross operating profit). “Our objetive now is to bring in fast profits”.