Three UK to acquire UK Broadband for GBP 300 million

NEW DELHI:Mobile operator three UK said that it  has agreed to acquire UK Broadband Limited, an ISP offering 4G broadband services in London, for GBP 300 million.

UK Broadband Limited provides broadband access to 15,000 customers in the UK and would become a wholly owned subsidiary of Three UK.

"Three UK will pay £250 million for UK Broadband Limited upon completion. A deferred £50 million will be made available as a credit toward an MVNO agreement on Three’s network," according to statement said.

UK Broadband Ltd provides broadband access via a combination of licenced spectrum and fibre backhaul.

UK Broadband Ltd will continue to operate as it does currently until the deal is completed.

"We expect the transaction to complete mid-year," a statement said.

Dave Dyson, Chief Executive of Three UK, said: “UK Broadband gives us an opportunity to expand our ambition to provide high quality and great value internet connectivity for UK consumers.”

UK Broadband is owned by Hong Kong operator PCCW and launched in 2014 a LTE network in London offering broadband services under the name Relish.

It has since expanded to the Reading and Swindon areas, using regional spectrum licences it acquired in 2003. Its services start at GBP 20 per month for a home plan with unlimited data and speeds up to 50 Mbps.