By Heather McLean, 24 August 2001 16:16
NEWS High-speed communications company Level 3 has re-acquired the London to New York network that it sold last year to the now defunct telecommunications network developer, Viatel. Colorado-based Level 3 has bought two fibres on a submarine cable between the UK and US - the same ones that it sold to Viatel in April 2000. Viatel filed for Chapter 11 protection in May, after amassing debts of £1.5bn while developing a European network. As part of today's deal, Level 3 agreed to waive the $9m debt that it was owed by Viatel. Under the terms of the deal, Level 3 will retain all cash received under the April 2000 contract, including the $94m that Viatel paid at the end of last year. NTL has already signed a deal to buy Viatel's UK assets for £15m. Viatel's receivers have had no offers for the 10,000 km of continental European fibre optic network that remains unsold, and the receivers are now considering selling the network as separate routes.
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