The reorganisation would also mean that current shareholders of TBI would give up their shares for similar holdings in the new exempted company, which is proposed to be named GlobeNet Communications Group Ltd.

If approved at the meeting on July 23, the plan calls for a scheme of arrangement to be used under section 99 of the Companies Act 1981. TeleBermuda is also soon to disclose operating results for the year.

The shareholders' meeting is being convened under the direction of the Bermuda Supreme Court. Shareholders will receive an information package on the proposal.

The board of directors will convene the company's annual general meeting on the same day in order to seek all required approvals to implement the reorganisation.

Deputy chairman of TeleBermuda, Jeff Conyers said, "The board is very pleased with the growth and progress of TeleBermuda over the past year in Bermuda and is recommending this restructuring to help facilitate the expansion of TeleBermuda beyond Bermuda.

Telebermuda plans revamp "The reorganisation is seen as an appropriate step in the evolution of the company from a start-up, to a more mature corporate structure.

"Ultimately, it is believed that the reorganisation will provide the TeleBermuda group with a greater capability to take advantage of new opportunities, and provide greater flexibility to respond to, and act upon, the challenges in the rapidly growing global telecommunications marketplace.''