TalkTalk, the telecoms and broadband group, has struck a £175m deal to offload part of its business-to-business (B2B) customer base to Daisy Group, a privately owned rival. The transaction means Daisy, which has a substantial presence in Nottingham and Northampton, will acquire 80,000 business customers. Tristia Harrison, Chief Executive of TalkTalk says: “When we reset TalkTalk a year ago, we said we would focus on delivering sustained customer growth whilst radically simplifying the business. One year into the strategy, we are making good progress on both. “Our customer base grew by 192k in FY18, underpinned by our unique propositions and our lowest ever churn. We have also made real progress in simplifying the business to focus on core, fixed connectivity. “This will continue into FY19 with the sale of our direct B2B business, as we focus on cementing our position as the market leader in our core B2B markets, Partner and Wholesale, which represent over 80% of our B2B business and continues to grow strongly. “As expected, our decision to invest in growth has come with short-term implications for EBITDA, but positions us well for FY19, where the benefits of a bigger base, regulatory tailwinds and ongoing cost reduction mean we remain on track for EBITDA improvement of 15% (before Daisy) and Headline revenue growth. “We have also set out our strategy to be at the heart of Britain’s full fibre future, in partnership with Infracapital. I am delighted to announce that Paul Reynolds will Chair the new company, with Charles Bligh having been appointed CEO, to oversee the roll out of a full fibre network to over 3 million homes and businesses, guaranteeing our long-term position as Britain’s leading value provider of fixed connectivity.”
Daisy Group announced it has agreed to acquire most of TalkTalk ’s business - to - business ( B2B ) customer base for £ 175 m ( $ 232 m ) . The deal will see Daisy take on 80,000 business customers allowing TalkTalk to focus on its wholesale and partner markets , which account for over 80 % of its B2B business .