A European private equity firm, HgCapital, has acquired Telefonica's majority stake in Manx Telecom, the Isle of Man's (UK) largest telecommunications and broadband internet provider (ISP), for £158.8 million. The acquisition is being completed alongside CPS Partners, a specialist telecommunications management company.

The move is significant because Telefonica's sibling, O2 UK, has often used Manx Telecom as a test-bed for its latest technologies. However, much of this is now being done in Spain, while recent live O2 tests of next generation Long Term Evolution ( LTE ) Mobile Broadband technology were instead conducted in Slough.


Manx Telecom currently employs 300 people and reported revenues of £69 million, with EBITDA of £25 million, in the year ended 31st December 2009.