Feeds

Sky in talks to sell Easynet, claim insiders

Management buyout chatter

Internet Security Threat Report 2014

Exclusive Sky has held talks to spin off its networking business Easynet, according to insiders.

Senior management at Easynet, which Sky bought for £211m in 2005, are planning a buyout, sources who spoke on condition of anonymity said.

Easynet's CEO David Rowe and chief planning and technology officer Justin Fielder are understood to have held meetings with Sky last week, and a deal is expected soon. Competing talks between Sky and Talk Talk are said to have broken down.

Easynet, founded in 1994, contributed £202.2m to Sky's overall revenues in 2008/09 of £5.3bn.

Sky would retain control of the network under a management buyout, while an independent Easynet would rent capacity from Sky's Network Services unit.

The infrastructure was used by Sky as a springboard for its successful leap into the home broadband market, and was the main target of its acquisition of Easynet. Since entering the fray Sky has continued Easynet's aggressive unbundling strategy, and is now the UK's fourth largest ISP with more than 2.5 million subscribers.

A Sky spokesman today declined to comment on what he called "market speculation". At time of publication Easynet had not returned a call requesting comment. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Same old iPad? NO. The new 'soft SIMs' are BIG NEWS
AppleSIM 'ware to allow quick switch of carriers
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Brits: Google, can you scrape 60k pages from web, pleeease
Hey, c'mon Choc Factory, it's our 'right to be forgotten'
Of COURSE Stephen Elop's to blame for Nokia woes, says author
'Google did have some unique propositions for Nokia'
It's even GRIMMER up North after MEGA SKY BROADBAND OUTAGE
By 'eck! Eccles cake production thrown into jeopardy
Mobile coverage on trains really is pants
You thought it was just *insert your provider here*, but now we have numbers
Don't mess with Texas ('cos it's getting Google Fiber and you're not)
A bit late, but company says 1Gbps Austin network almost ready to compete with AT&T
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.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.