New Caanan, Conn. -- Century Communications Corp. has
received $360.8 million in cash from the sale of its holdings in Centennial Cellular Corp.
to CCW Acquisition Corp., a company formed specifically for the transaction by investment
company Welsh Carson Anderson & Stowe.
Century, which owns 72 cable systems, announced the sale of
its cellular-telephone subsidiary to CCW last year. Century held 8.5 million shares of
Centennial's class A stock and nearly 4 million class B shares.
Century will use the proceeds of the stock sale for general
corporate purposes, including financing capital expenditures, investments, purchases of
its own securities and acquisitions, the company said.
However, it is unlikely that the company will be spending a
lot of money on acquisitions. In December, Century hired Donaldson, Lufkin & Jenrette
to help it explore its strategic alternatives, one of which could be putting the company
up for sale.
The MSO also said it anticipates a $200 million net gain
during the three months ended Feb. 28 as a result of the sale. That gain is less
Century's share of Centennial's losses through the date of acquisition. The
company said that figure is expected to be immaterial.