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Thus to buy Your Comms - report

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Thus - the Scottish telco behind the Demon internet brand - is on the verge of buying Your Communications, according to The Scotsman.

It reports that the deal could be announced as early as this week, although a spokeswoman for Thus - which tried and failed to acquire rival telco Energis earlier this year - declined to comment on what she described as "rumour and speculation".

Three weeks ago Your Communications, which is part of United Utilities (UU) based in the North West of England - confirmed months of speculation that it was up for sale.

In preparing to flog Your Communications - which offers voice, data and mobile services to the public sector and SMEs predominantly in the Midlands and North of England - UU announced it was taking a hit on the value of the business and halving the net asset value to around £98m.

Speaking earlier this month outgoing UU chief exec John Roberts said: "We have recognised for some time that consolidation of the telecoms sector has been overdue, and we are now seeing evidence of deals being done.

"[It is] our view that the interests of our telecoms business are best served by its participation in the current round of consolidation in its industry through a sale process." ®

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