KeyTech shares jumped $2 or 14.8 percent yesterday as investors apparently welcomed Cable & Wireless' $205 million bid for the Island's leading telecommunications company.

The increase pushed the The Royal Gazette/Bermuda Stock Exchange Index up 1.49 percent or 66.49 points yesterday to close at a record high of 4,521.96 points in active trading.

Investors brushed off KeyTech's board of directors rejection of the $17 a share offer and drove the shares up to a record high of $15.50. However, only 100 shares traded and the asking price for the shares now matches C&W's bid price.

Belco shares also rose, increasing $1.25 or 3.2 percent to close at $40 on volume of 2,500 shares.

Bank of Butterfield closed up 25 cents at $57.50 on volume of 6,628 shares while insurers Argus and BF&M both traded unchanged at $14.25 and $15 respectively. Argus saw 1,300 shares change hands while BF&M investors traded 6,252.

A total of 16,780 Bermuda shares worth $594,565 and 5,000 US shares worth $20,000 traded.