Wed, 21 Feb 2018 | DIVISION SALE
It has been widely reported that telecommunications firm BT has been forced to sell its cable-making arm as part of a wider effort to simplify its business following a string of financial setbacks.
According to the Telegraph, the telephone and internet service provider has appointed Greenhill, an investment bank, to advise over the sale of BT Cables, a Manchester-based division.
BT Cables supplies Openreach, the parent group’s separate network operator which was spun out from BT last year, with fibre optic and copper cables. The division also provides connections use for railway signalling, as well as other products for international customers.
The cabling business became part of the BT group in 2012 when it was bought from administrators to allow the network operator to continue to upgrade its superfast broadband network. BT Cables’ previous owner, B3 Industries, collapsed with debts of over £30 million to its name.
Since then, however, BT has more than doubled its cable sales since 2012 to reach £50 million, with the division reporting a profit of £4 million last year.
It is believed that Greenhill has marketed this strong financial performance to private equity buyers.
The BT parent company has, on the other hand, endured some tricky financial times of late, though the sale of BT Cables is believed to motivated by a desire to refocus on its core business rather than for the cash boost it might provide.
Last year, BT was struck by a large-scale accounting fraud in its Italian business which lead to a major internal review this year. Possible actions identified to go forward include a string of asset disposals or merging business units.
Aside from BT Cables, the firm is poised to sell off international networks this year as it shifts its services for overseas customers to online and cloud computing platforms.
Offers permanent and temporary placements to candidates operating within the accountancy and financial sectors. Maintains long-term relationships with its clients, acting as a trusted advisor to provide impartial and effective support throughout the...
LEASEHOLD
Provides a comprehensive consultancy service within the building industry. Works with major BEMS systems manufacturers and suppliers and has extensive in-house knowledge. Offers invited.
LEASEHOLD
Strong second-tier management team in place, able to manage the day-today operations of the business. Serves 200 active clients in the healthcare, veterinary and life science sectors - with some long-standing client relationships in place since incep...
LEASEHOLD
|
13
|
|
Dec
|
Gateley acquires T-three | BUSINESS SALE
Commercial law and professional services firm Gateley has ac...
|
12
|
|
Dec
|
Appello acquires Mevivo Careline | BUSINESS SALE
Living solutions provider Appello has acquired telecare and ...
|
11
|
|
Dec
|
PiggyBank owner enters administration | ADMINISTRATION
DJS Limited, the parent company of payday lender PiggyBank, ...
Sign up to receive our acquisition alert emails to get your FREE guide
|
06
|
|
Jun
|
Administrators appointed for Preston Guild Hall | ADMINISTRATION
The company behind the coveted Preston Guild Hall, which has...
|
12
|
|
Feb
|
World’s "oldest department store" enters administration | ADMINISTRATION
Deemed to be the world’s oldest department store, havi...
|
10
|
|
Nov
|
BT to sell off its fleet division | DIVISION SALE
BT Group is preparing to sell its fleet management arm encom...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources