The sale of TeleBermuda International Ltd is expected to close this quarter, according to Minister of Telecommunications and E-commerce, Renee Webb.

Ms Webb also added that the sale of GlobeNet, the former parent of TBI that was bought up by failed American telecommunications giant, 360networks, would soon follow.

And it is hoped that any potential buyer of TBI - which handles 50 percent of the international calls on the Island - would at least in part be Bermudian.

Ms Webb said that it would be in the national interest for the company to be locally owned as one of the two providers of fibre optic cable on the Island which is used for Internet and long distance connection.

"What we are doing is trying to ensure what is best and in the national interest," said Ms Webb as she returned from an overseas trip yesterday. "It can be very dangerous if your country is not in control of its infrastructure."

There has been uncertainty over the future of TBI since its US parent company 360networks filed for Chapter 11 bankruptcy last year.

TBI is seen as key to Bermuda's infrastructure as it is the hub of an international fibre-optic link-up with the rest of the world. At its offices in St. David's there is a state-of-the-art server facility for the undersea fibre optic cable which was laid to the US in 1997.

TBI is now one of two providers, along with Cable & Wireless, which provides the cable needed to connect Bermuda to the Internet and the rest of the world.

Bermuda had also been a central part of the race by various telecommunications companies to link the world with the cable, which would allow the world to have high speed internet connections .

360networks bought up GlobeNet, which owned TBI, for $1 billion in March 2000, but since the crash of telecoms stock and a fall in demand for telecommunications, it buckled under mounting debt.

In a bid to get out of the red, it has revealed that it plans to abandon its hopes of running a global system and will try to survive as a North American-only operation.

But that means that Bermuda could be part of the sell-off, although 360networks has so far said that it had no plans to sell off TBI.

TBI was set up five years ago and provides voice, data and Internet programmes for corporate clients and has been involved in a price war with Cable and Wireless which has seen the cost of Internet access for companies and international calls for everyone, go down on the Island.

"We are trying to make sure we have a situation that is good for Bermuda at large," said Ms Webb. "You can see the potential for danger with just Cable & Wireless and TBI in the market."

And she said that the Ministry wanted to be a part of any negotiations to sell the company before the deal was made to make sure the national interests of Bermuda were looked after.

She said: "One potential area of concern that the Ministry was faced with in 2001 was the impending sale of TBI and its original parent company GlobeNet.

"As you know 360networks filed for Chapter 11 protection in 2001 thus creating some degree of uncertainty in our minds with respect to both TBI and the fibre optic network portion GlobeNet. I am pleased to report that the pending sale of TBI is expected to close this quarter with the sale of GlobeNet soon to follow."