Horizon Communications has told its customers that it is to cease operations and will transfer them to another telecoms company.

Teneo (Bermuda), the joint receiver of the telecommunications firm, also confirmed the news in a statement.

In a letter to “valued customers”, Horizon said: “We are notifying you that Horizon will cease operations and service as of June 26, 2023.

“After this date the company will no longer be able to provide you with any services.

“We are pleased to announce that we have reached an agreement with One Communications, a leading full-service telecommunications provider, for the transition of customers to their platform.

“We believe that this arrangement is in the best interests of our customers and will allow you to continue enjoying uninterrupted internet service.”

Customers were told in the letter, signed off as Horizon, that One Communications will be contacting them by e-mail and phone.

There was no mention of what would happen to those who did not wish to move to One Communications or whether other providers were approached as part of the agreement.

Horizon was placed into receivership at the start of the year as a sale as a going concern was not achieved, the letter said.

It added: “We have found the best alternative available to ensure you continue to have market-leading internet service …

“We would like to take this opportunity to express our deepest gratitude for your loyalty and patronage.”

Michael Morrison and Charles Thresh, of Teneo, are the joint receivers of Horizon.

Teneo added in its statement: “Horizon will continue providing internet services to its customers until June 26, 2023, at which time the Horizon network will be decommissioned.

“We thank the company’s customers for their loyalty and patience during this time and wish them and One all the best for their ongoing relationship.”

Niall Sheehy, chief executive of One Communications, said: “One is pleased to welcome Horizon customers to its best-in-class network and to provide them with access to our extensive suite of products and services.

“We are committed to providing continuity of service and ensuring a seamless transition to our network.”

Horizon customers were invited by One Communications to call 700-7070 to discuss the transfer of service.

Gilbert “Artie” Darrell, Horizon’s founder and chief executive, declined to comment at this time.

Staff were laid off on January 12 after the company ran into financial trouble as a result of being unable to secure funding from the lender — the Bermuda Investment Fund, managed by Fortress Investment Group.

Staff made redundant at the company have been told it is highly unlikely they will receive any severance pay or other monies owed.

Mr Darrell wrote to staff this month explaining that the company remained indebted to the lender and would be placed into liquid insolvency.

The joint receivers did not anticipate that there would be sufficient assets to repay the employees and any claims for money not paid would be handled by liquidators once they were appointed, he said.