Talk Talk remains the largest supplier of wholesale broadband services

UK internet service provider Talk Talk has agreed to sell its direct B2B business to Daisy, in a deal reported to be worth £175 million.

The two companies have signed heads of agreements on the proposed deal, which would see Daisy take possession of all of Talk Talk’s 80,000 B2B customers with immediate effect, however, those customer’s will continue to be served via Talk Talk’s network.  

"Last year we set out a strategy to radically simplify the business, focussing on fewer priorities that offer the best growth potential. TalkTalk has real strength in the Partner and Wholesale markets, where we have scale and a clear leadership position. It represents the vast majority of our revenue and profit and we see real opportunity to continue growing at pace. This proposed deal would allow us to focus on growth in those core B2B markets, whilst also removing significant complexity and cost from the business. As an existing strategic partner, Daisy is well placed to serve all direct customers, who would remain on our network and provide ongoing revenue," TalkTalk’s chief executive, Tristia Harrison, said.

Talk Talk is currently the largest supplier of wholesale broadband and is the fastest growing ethernet provider in the UK. The sale will help to strengthen Talk Talk’s balance sheet.