Telecom Acquisitions Acquire Gigabit Networks’ UK CityFibre Customers

The Horsham-based Telecom Acquisitions Group (TAL), which is a holding company for several familiar UK residential broadband ISP brands (Home Telecom, Eclipse Broadband etc.), has today announced yet another acquisition after they scooped the CityFibre (FTTP) linked residential customer base of ISP Gigabit Networks.

Not unlike the recent deal with Eze Talk (here), it seems as if today’s agreement reflects the fact that Gigabit Networks has decided to focus on the wholesale side of their business, which has left the door open for their residential base of customers on CityFibre’s national full fibre broadband network to be sold. Some 2,000 customers will be impacted by the change.

NOTE: TalkTalk also has a “strategic partnership” with TAL (i.e. they hold a controlling stake in the business), which was established in late 2022 (here).

The TAL Group, which is now home to over 100,000 broadband customers and has returned a turnover of £40m, is currently continuing to negotiate with other prominent alternative networks and ISPs for further expansion during the course of 2024.

Nigel Barnett, CEO of TAL, said:

“Gigabit Networks is a highly successful ISP in the B2B arena. Over the last few years, CEO David Yates and his team have built a reasonably sized residential base but have now made a strategic decision to put all their focus into their B2B offering. This will add circa 2,000 residential customers to our expanding base and enhances our relationship with CityFibre and TalkTalk.

David and I have both been in this industry for years and over that time I’ve built a great business relationship with him and his family. He is not alone in his decision to withdraw from the residential space. It seems so simple to add customers, but it’s become very competitive and expensive.”

David Yates, CEO of Gigabit Networks, said:

“We’ve built a very solid infrastructure aggregating multiple fibre networks across the UK and delivering quality connectivity to businesses, wholesale partners and consumers. The consumer business has become secondary to our channel and wholesale ISP offering, so seeing what Nigel has done with TAL over the last four years means it makes great sense to partner with him on the residential base.

I’m really looking forward to working with TAL to grow the residential side allowing us to focus on our channel and wholesale partnerships.”

In terms of the customer impact from this, TAL has confirmed that based on this agreement, all prices and terms and conditions will remain the same for former residential customers of Gigabit Networks. TAL and Gigabit Networks will now also work together on a residential offering that “enhances services” provided by BT, TalkTalk, Sky Broadband, Vodafone, Virgin Media and other altnets, all from one postcode checker.

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