Toscafund, Penta to acquire TalkTalk for £1.1bn

Toscafund invests from several funds, including Tosca, a global long and short equity fund specialising in the financial, business services and property sectors. Tosca was launched in 2000.

Penta Capital funds buyouts, buy-ins and development capital, and since launching in 1999 has invested equity ranging from £5m to £200m in a range of industries and sectors.

The investors have received irrevocable undertakings from the rollover management shareholders including the company's chairman, Charles Dunstone, as well as Roger Taylor, Tristia Harrison, John Gildersleeve and Timothy Morris, who with Dunstone together own approximately 44.6% of the company.

The consortium has offered 97 pence per share, representing a premium of 16.4% on the unaffected share price of 83.3 pence. At the time of publication, the business was valued at 99.1 pence per share.

Previous funding
Carphone Warehouse acquired Opal Telecom in 2002 and TalkTalk Broadband was launched in 2003.

In March 2010, the company de-merged from Carphone Warehouse and listed on the London Stock Exchange.

In November 2014, TalkTalk reached an agreement to purchase the ADSL business of Virgin Media and, in January 2015, the company acquired Blinkbox and Tesco's broadband business for around £5m.

Tosca first invested in TalkTalk in 2016.

Company
TalkTalk is a connectivity provider, supplying landline, broadband, TV and mobile services. The network provides services to consumers through the TalkTalk brand, to businesses through TalkTalk Business, and by wholesaling to resellers. Based in Salford and incorporated in 2009, the company reported revenues of £1.5bn and EBITDA of £308m for the year ending on 31 March 2020.

Advisers
Equity – Panmure Gordon (corporate finance).
Company – Barclays (corporate finance); Deutsche Bank (corporate finance); Lazard (corporate finance).

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Send to  

• Topics
• Buyouts
• UK / Ireland
• Technology
• Penta Capital Partners
• Deutsche Bank
• lazard
• Barclays
• Take Private