Tiscali puts its UK arm up for sale (again)

Tiscali has once again renewed talks to sell of its UK business, and once again, Carphone Warehouse is thought to be the favourite to buy up.

The debt-ridden ISP has now entered “negotiations for the disposal of its activities in the UK”, which Tiscali are hoping to complete by the end of the month.

A piece in the Telegraph yesterday says that Carphone was thought to have stumped up £200 million, less than half of the £450 million figure that Sky offered Tiscali last year.

A £200 million buyout would go some way to plugging the massive €500 debt hole Tiscali collectively owe to banks and lenders throughout Europe, and see Carphone Warehouse overtake BT Broadband as the UK market leader.

Carphone Warehouse is also thought to be splitting from TalkTalk some time this year, and so acquiring the 1.8 million-ish that Tiscali currently supplies broadband services to would help secure its position in the marketplace.

Whilst Carphone are indeed the front runners to takeover Tiscali in the UK, we wouldn’t rule out a last minute bid by a rival provider… watch this space.

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