TalkTalk shareholders acquire Business Direct unit for £95m

TalkTalk Group has sold its Business Direct unit to TFP Telecoms Limited, a special purpose vehicle controlled by its main shareholders, for £95m.

The transaction also involves a long-term exclusive wholesale agreement with TalkTalk’s wholesale platform worth £25m over three years.

This represents the first phase of the demerger strategy shared in September, separating the TalkTalk Group into three separate businesses.

The plan stated that Ruth Kennedy would continue to act as the MD of the Business Direct Unit, which currently serves the connectivity needs of around 90,000 small businesses.

Tristia Harrison, TalkTalk Group CEO, said: “The transaction delivers both investment for growth for Business Direct, as well as a long-term revenue agreement for our wholesale platform.”

TalkTalk Business Direct will continue to remain headquartered in Salford following the deal.