BT acquires TalkTalk out of administration to secure 2.5 million customers
UKPulse Consumer Desk
BT Group has agreed to buy TalkTalk out of administration, securing the future of 1.5 million retail and 1 million wholesale customers. The deal follows an agreement with TalkTalk's largest creditor.
- BT Group has acquired TalkTalk out of administration.
- The acquisition secures services for 1.5 million retail and 1 million wholesale TalkTalk customers.
- TalkTalk's wholesale and consumer arms will be sold to BT on a debt-free basis.
BT Group has reached a deal to acquire broadband provider TalkTalk out of administration. The agreement was made with TalkTalk's largest creditor.
The acquisition will see TalkTalk's wholesale and consumer divisions sold to BT on a debt-free basis. BT stated that its priority is to stabilise the business and provide a safety net for households and businesses reliant on TalkTalk.
This move aims to provide reassurance for TalkTalk's 90 employees, 1.5 million retail customers, and 1 million wholesale customers across the UK. These customers include vulnerable households and connections supporting critical national infrastructure.
TalkTalk, founded in 2003, reported revenues of £1.2bn and was loss-making in the last 12 months. Its customer numbers have decreased from 4 million in 2019 to approximately 1.5 million.
Why this matters: The acquisition aims to prevent the collapse of TalkTalk, which BT stated would put millions of citizens and businesses at risk, including vulnerable customers and key public services.
What this means for you: If you are a TalkTalk customer, your services are expected to be secured, and you may eventually benefit from access to BT's network and services.