Virgin Media O2 and Daisy unite to type £3bn enterprise telecoms group

Virgin Media O2 and Daisy Group are to unveil a merger of their enterprise communications and IT operations in a bid to create a £3bn telecoms powerhouse.

Sky Information has learnt that the 2 corporations will announce in a while Monday that they’re to mix to type an organization with annual revenues of about £1.4bn.

Virgin Media O2 will personal 70% of the brand new enterprise, whereas Daisy Group will personal 30%.

The tie-up will create a stronger challenger to BT Group, Britain’s largest supplier of IT and telecoms providers to small and medium-sized companies (SMEs).

Combining the 2 operations is predicted to supply substantial value financial savings, in accordance with one insider.

Telecoms business sources stated that Matthew Riley, the Daisy Group founder, would chair the corporate, whereas Jo Bertram, the managing director of Virgin Media O2 Enterprise, can be its chief government.

It’s the newest in a string of offers engineered by Mr Riley since he based Daisy in 2001.

One supply stated it was more likely to be subjected to rigorous scrutiny by the Competitors and Markets Authority, however was not anticipated to come across any main obstacles.

Each VMO2 and Daisy have been contacted for remark.