Centel Is for Sale; May Be Worth Up to $5.5 Billion

CHICAGO — The telecommunications company Centel Corp. put itself up for sale on Monday.

The Chicago company announced Jan. 23 that it had hired investment bankers to find ways to boost its stock value. Centel’s directors voted Monday to solicit bids after hearing expressions of interest.

Analysts have said the company, if sold in one piece, could be worth as much as $5.5 billion, or about $65 a share. Centel stock closed at $44.50 Friday. The stock market was closed Monday for Presidents’ Day.

Chairman John P. Frazee said in a statement that the Centel board would not decide whether to sell all or part of the company until after reviewing the proposals, which are due by April 16.

But he said some of the expressions of interest were attractive.

Frazee said last month that Centel might sell itself because the company wanted to manage its own destiny during a coming consolidation of the telecommunications industry.

Centel employs 9,500 people. It provides local phone service in parts of Florida, Illinois, Ohio, Nevada, Texas, Virginia and North Carolina. It also manages cellular phone systems in 44 markets in 14 states and has minority interests in cellular systems in 32 metropolitan areas, including Chicago, Houston, Kansas City and New York.

Centel earned $159.9 million last year on sales of $1.18 billion.