CityWest expands to the south once again, taking on acquisition of two Texada Island communication companies

CityWest has added two more communication companies to their holdings, with an information release on Friday that highlights that the City of Prince Rupert owned communication company has bought two communication outlets on Texada Island. 

In their statement CityWest outlined the acquisition of Gillies Bay Community TV Association and the Teaxada Community Television Association, both of which operate on Texada Island, which is located in the Strait of Georgia east of the Comox Valley and to the southwest of Powell River.

CityWest announced the acquisition of Gillies Bay and Texada Island
communication firmes on Friday.

The CityWest information release notes that the acquisition comes after months of collaboration to find a new solution for TV and Internet services in the communities. CityWest will bring these services to GBCTVA and TCTVA customers through their new Stream TV platform, providing an improved TV experience for viewers.

CityWest will take over the existing infrastructure that both companies have managed, providing cable TV services and Internet to homes on Texada Island. The statement advises that the customers of both associations can expect a smooth transition as CityWest works with their local leadership teams. Customers will not notice a change in their bill or existing service.

CityWest CEO Stefan Woloszyn noted of the focus on cooperation that makes for the business model for the company.

“CityWest’s business model thrives on collaborating with local communities and organizations. We saw an opportunity to help bring these communities improved television services, while working with two great Texada organizations. Social responsibility is important to us, and we’re excited to bring an improved experience to these communities for decades to come.” 

No financial terms related to the acquisition were released as part of the Friday statement which you can read in full here.

CityWest has been expanding its footprint over the last number of years, picking up existing firms and creating partnerships with a number of rural and First Nation's communities both on the North and Central Coast, Haida Gwaii and increasingly in the Northern and now Central Vancouver Island region.

While that ambitious expansion plan moves along, officials from the municipally owned communication company have not provided a public update for City Council towards their operations in a number of years. 

Nor has City Council spoken to the topic of their 100 percent investment in the company and how it's ongoing expansion plans may be impacting on the return of investment to the community.

Towards those returns to the civic treasury, the 2023 Distribution announcement came a few months later than has been the normal process for the company. 

In March CityWest announced its plans for a distribution payment back to the city of 1,000,000 dollars spread out over two years, a reduced amount from some of the larger returns of years ago.

In the CityWest statement from March 27th it was noted that since it was turned into a stand alone company in 2005, CityWest has provided the City of Prince Rupert with 10 million dollars in dividends and distribution payments, along with 2 million dollars in local taxes and levies.

The most recent financial update from City West was included as part of the City of Prince Rupert Annual Report, which was released in June. Of note from that document is the still sizeable amount outstanding on the loan to the communication company.

You can catch up with some of their most recent purchases and their relationship with Prince Rupert City Hall through our archive page here.

Cross posted from the North Coast Review.