Feeds

BT completes £2.3bn property sale

Debt edging downwards

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

BT has secured the £2.3 billion sale of its property portfolio in a move that could see its debt mountain fall to just £13 billion.

The deal with Telereal Holdings Limited - a 50:50 joint venture owned by Land Securities Trillium and The William Pears Group - is subject to Telereal raising the cash on the bond markets.

BT's property estate consists of six million square metres of floorspace in offices, depots and telephone exchanges. The telco will lease back the property it needs.

Sir Christopher Bland, Chairman of BT, said: "This represents a further step forward in BT's drive for cash and the reduction of its headline debt, while at the same time outsourcing a non-core competency."

Today's announcement means that that BT's debt - on paper at least - has fallen to around £13 billion.

It raised £2.14 billion with the sale of its Yellow Pages business. Its interests in Japan and Spain raised £4.4 billion; Malaysia contributed a further £0.35 billion. If the rights issue succeeds that will generate £5.9 billion and today's announcement will chalk-up £2.3 billion - a total of £15.09 billion wiped off its £27.9 billion debt mountain.

Of course, not all the cash has been banked yet and there's still a long way to go - but hey, it's a start. At least it should keep the bailiffs away for another week or so. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.