LCL Communications - Leicester and Loughborough

Name of Client: Leicester Communications Limited (LCL)
Location: Leicester and Loughborough, United Kingdom
Start Date: 1988
Completion Date: 1995

Description of Project:
SaskTel International was one of the early entrepreneurs bidding to take advantage of the liberalized market in the United Kingdom that emerged in the late 1980s. In 1988, two cable franchises, (Leicester and Loughborough) were awarded to SaskTel International to develop and market. SaskTel International formed a partnership with Fundy Cable of New Brunswick, Canada and John Laing plc of the United Kingdom, under the banner of Leicester Communications Limited (LCL) to exploit the awarded franchises. LCL formed an alliance with Mercury Communications Limited in order to offer both telecommunication and cable television services.

SaskTel gained valuable management skills and knowledge through the development and operation of cable television systems in Canada, and used these skills to provide the design, installation and engineering expertise for LCL’s broadband network. In 1991, with the emergence of full competition at the local and national level, SaskTel International acquired majority ownership of LCL. SaskTel International was responsible for the direct supply of project management, design and engineering services for the construction of a telecommunications and cable television network and operational support systems for LCL Cable Communications of Leicester, England. The project involved the development of an integrated telecommunications and cable television network including; the construction of a satellite headend, 1,600 kilometers of underground trenching and cable placement, and 30 remote optical nodes.

This project saw over 30 employees directly seconded from SaskTel and over 75 resources within the province of Saskatchewan supporting this business venture. In October of 1995 SaskTel International, John Laing plc and Fundy Cable all agreed to sell its interest in LCL Cable Communications. The motivation for divesting this asset was the opportunity to realize a high return on the invested capital.