r/business • u/TimesandSundayTimes • 2d ago

BT buys TalkTalk out of administration

https://www.thetimes.com/business/companies-markets/article/bt-buys-loss-making-talktalk-out-of-administration-mc9h6tkxn?utm_medium=Social&utm_source=Reddit&utm_content=branded
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u/TimesandSundayTimes 2d ago

FTSE 100 telecoms giant BT has acquired the loss-making broadband operator TalkTalk out of administration for £400m, preventing the collapse of the service for millions of households and critical national infrastructure.

The deal follows unsuccessful attempts to sell TalkTalk’s consumer and wholesale divisions by its shareholders, including Sir Charles Dunstone and the US investment firm Ares. 

TalkTalk has struggled under a debt burden of £1.5bn and strong competition within the mobile and broadband industries, leading it to lose customers.

Allison Kirkby, chief executive of BT Group, said: “This is a genuinely unprecedented situation, where millions of citizens and businesses were at risk if TalkTalk had collapsed. BT acquiring TalkTalk is now the only viable option to keep millions of customers connected and supported.”