TalkTalk sells broadband business to CityFibre for £200 million
Category: #business  By Saipriya Iyer  Date: 2020-01-22
  • share
  • Twitter
  • Facebook
  • LinkedIn
TalkTalk sells broadband business to CityFibre for £200 million

TalkTalk is set to trim its debt with the sale of the FibreNation division for £200 million. Acquisition of FibreNation by CityFibre incorporates a wholesale commitment which would need TalkTalk to provide its customers broadband services which use the network of CityFibre.

The news comes on the heels of skeptic analysts who have raised eyebrows stating if CityFibre would be in line with the pace of fibre broadband launch of rivals such as Openreach. CityFibre has upped its target to join 8 million UK businesses and homes after procuring FibreNation.

TalkTalk noted that the deal with CityFibre would provide more flexibility to access other networks provided CityFibre falters to meet its targets. Tristia Harrison, the company’s CEO, stressed on the relevance of the delay in completion of the deal. Reportedly, Harrison said that TalkTalk would not have shied away from going with other fibre building company if CityFibre failed to execute its plan.

TalkTalk founder and largest shareholder Sir Charles Dunstone initially warranted infusion of funds for FibreNation as a quid pro quo for an 80pc stake in the venture of fibre broadband. Meanwhile, the company has opted for an upfront payment via inking deal with CityFibre, that is under the aegis of Wall Street behemoth Goldman Sachs.

For the record, the potential agreement had grappled with obstacles in 2019 as the Labor party revealed intentions to offer free internet for everyone and nationalize Openreach provided it won the election.

About TalkTalk

Foraying in the market in the early 2000s, TalkTalk has biggest unbundled broadband network in Britain, facilitating staggering 96% of the population. The company renders services to businesses via TalkTalk business; to customers via the TalkTalk brand; and to resellers by wholesaling. TalkTalk provides broadband, landline, TV and mobile services to more than 4 million customers.

Source credit:

https://www.telegraph.co.uk/business/2020/01/21/talktalk-trims-debt-with200m-broadband-sale-cityfibre/

  • share
  • Twitter
  • Facebook
  • LinkedIn

About Author

Saipriya Iyer

Saipriya Iyer    

Saipriya Iyer currently works as a content developer for GroundAlerts. A computer engineer by profession, she ventured into the field of writing for the love of playing with words. Having had previous experience of 3 years under her belt, she has dabbled with website ...

Read More >>

More News By Saipriya Iyer

Global Wooden Furniture Market by Key Players, Countries, Segments and Application, Forecast to 2027
Global Wooden Furniture Market by Key Players, Countries, Segments and Application, Forecast to 2027
By Saipriya Iyer

Global wooden furniture market is poised to witness a tremendous growth over the projected timeframe of 2020 to 2026 on account of rising number of residential and commercial construction activities across the globe. Alongside, increasing consumer in...

Cladribine Market Growth Manufacturers, Regions, Product Types, Major Application Analysis & Forecast To 2026
Cladribine Market Growth Manufacturers, Regions, Product Types, Major Application Analysis & Forecast To 2026
By Saipriya Iyer

Global Cladribine Market Research Report: Size, Share, Trends, Industry Growth, Opportunity, Application, Production, Segmentation, Cost Structure, Company Profile, Product Picture and Specifications during the Forecast period by 2026 Executive summ...

Cardiovascular Disease Drugs Market size and Key Trends in terms of volume and value 2021-2026
Cardiovascular Disease Drugs Market size and Key Trends in terms of volume and value 2021-2026
By Saipriya Iyer

Global Cardiovascular Disease Drugs ?Market report 2026 focuses on the major Types and Applications for the key players. Global Cardiovascular Disease Drugs market research report also provides analysis of the market share, segmentation, revenue fore...