Biting the hand that feeds IT
Biting the hand that feeds IT
|
|
Original URL: http://www.theregister.co.uk/2007/07/02/virgin_media_pe/
Virgin Media, bowed by its protracted legal tussle with Sky, has again become the target of a takeover approach by private equity carpetbaggers.
Reports say the Virgin Media board is considering a $10bn (about £4.9bn) punt from the Carlyle Group, a consortium which also made an approach last year, but was rebuffed.
This time round, Richard Branson, who bagged the largest share in the firm when NTL:Telewest bought Virgin Mobile, is now said to back a sale, though would hang on to his holding. His Virgin Group retains control over the Virgin brand, which was slapped on NTL:Telewest at a cost of £25m.
Carlyle's offer values Virgin Media at between $33 and $35 per share. It closed on Nasdaq on Friday at $24.37. Other private equity funds are also considering making a bid, meaning the sale would enter an auction process that would take several weeks.
Virgin's bosses reportedly reckon that delisting the firm would allow more dynamic moves to stimulate growth, without the scrutiny of the quarterly updates demanded by the stock market.
A private equity deal for Virgin Media would rank as the second biggest ever, after the sale of high street stalwart Boots, which went for £11.1bn in May. The boom in the sector means any large company perceived as lacking direction is likely to be targeted. ®
Branson: saviour of Northern Rock (12 October 2007)
http://www.theregister.co.uk/2007/10/12/northern_rock_branson/
Premium rate Virgin Media cuts tech support jobs (11 September 2007)
http://www.theregister.co.uk/2007/09/11/virgin_support_redundancies/
Virgin Media boss in shock exit (21 August 2007)
http://www.theregister.co.uk/2007/08/21/virgin_burch_quits/
Virgin Media to mount French invasion (13 August 2007)
http://www.theregister.co.uk/2007/08/13/virgin_france_expansion/
Customer exodus hits Virgin Media (8 August 2007)
http://www.theregister.co.uk/2007/08/08/virgin_q2_2007/
Virgin Media seeks sanctuary in telco buyer (13 July 2007)
http://www.theregister.co.uk/2007/07/13/virgin_strategic_buyer/
Virgin: Take the money and run, Beardie (3 July 2007)
http://www.theregister.co.uk/2007/07/03/caryle_virgin_media_analysis/
Tiscali TV reaches for Sky channels (27 June 2007)
http://www.theregister.co.uk/2007/06/27/tiscali_sky_virgin/
Virgin Media tech support goes premium rate (11 June 2007)
http://www.theregister.co.uk/2007/06/11/virgin_media_call_charges/
Virgin Media still claiming no usage limits (22 May 2007)
http://www.theregister.co.uk/2007/05/22/virginmedia_claims_no_usage_limits/
Virgin Media piles Cable and Wireless sandbags (18 May 2007)
http://www.theregister.co.uk/2007/05/18/virg_cw_huff/
Virgin: stop whinging and deal with the debt (14 May 2007)
http://www.theregister.co.uk/2007/05/14/virgin_media_analysis/
About that TV service, Mr Branson... (14 May 2007)
http://www.theregister.co.uk/2007/05/14/dear_branson/
Virgin faces customer exodus over Sky battle (9 May 2007)
http://www.theregister.co.uk/2007/05/09/virgin_q1_2007/
Virgin throttles national cable network (8 May 2007)
http://www.theregister.co.uk/2007/05/08/vigin_nationwide_throttling/
© Copyright 2008
