Original URL: http://www.theregister.co.uk/2005/09/21/caudwell_sale/
Caudwell to flog fixed line biz
Focus on mobile, Europe
Telecoms entrepreneur John Caudwell and the man behind phones 4u is looking to flog his fixed line telephone business after receiving "a number of approaches from third parties interested in acquiring Caudwell Communications".
The sale of the business and its 600,000 punters could net Caudwell £100m, according to The Telegraph.
No-one from the company was available for comment at the time of writing but in a memo to staff seen by The Register Caudwell explains that he asked Rothschild to undertake a strategic review of the business over the summer.
With some interest being shown in the fixed-line business, the firm "instructed Rothschild to act on this...and initiate a sale process subject to achieving an appropriate value for the business".
"Caudwell Communications has grown rapidly to become one of the largest CPS [Carrier Pre Select] resellers in the UK and you have exceeded my expectations when I launched the business. This has been an excellent achievement," wrote Caudwell.
"However with greater focus on mobile and expansion into European and Middle Eastern markets fixed line is not necessarily central to the future development of the Caudwell Group and this is why I have agreed to allow discussions about a potential sale of the business."
He told staff that despite the sale of the business, it is still "very much business as normal". Reassuring staff and punters he said: "In assessing any interest and offers the future development plans for the business will be closely reviewed to ensure the interests of all staff and our 600,000 customers are fully considered."
News that Caudwell's fixed line business is up for sale coincides with Centrica's decision to flog its OneTel telephone business, which has around 1.6m punters. ®