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UK ISP Pipex Waves The FOR SALE Sign

Posted: 12th Mar, 2007 By: MarkJ
Pipex's chairman, Peter Dubens, has reportedly appointed bankers UBS to hunt for a possible buyer. The provider confirmed the reports, but refused to comment except to say that a sale was one of several possible options:

Pipex shares are down almost two per cent today, but enjoyed a big rally last week. The company has a market cap of £335m and claims over half a million broadband customers.

Independent ISPs are struggling to compete with the big brands like Virgin, Sky, and the various mobile companies who offer a bundle of services.

With mobile and cable operators chasing each other to add strings to their triple or quadruple-play strategies, there should be no shortage of bidders. Several companies have upset customers by buying into the broadband market without an adequate technology partner.

Pipex also owns several other providers, including Nildram, Bulldog and Freedom2Surf. Customers of all related providers will no doubt be concerned, although much will depend on who the buyer turns out to be. More @ The Register.
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