BT is considering a takeover bid for TalkTalk due to TalkTalk's cash crisis

From Yahoo Finance: 2025-06-10 12:00:00

BT is considering a takeover bid for TalkTalk as the broadband provider faces a cash crisis, losing 400,000 customers last year. TalkTalk narrowly avoided collapse with a £235m injection from shareholders but still has £1.2bn of debt. Openreach, which hosts TalkTalk customers, saw a decline in customers due to TalkTalk’s struggles.

TalkTalk’s challenges have started affecting BT’s Openreach division, with many customers switching to new challenger networks with their own fiber-optic infrastructure. Openreach lost almost a quarter of a million broadband customers in the first three months. BT is hopeful for Ofcom’s support in a potential merger, but competition regulators may scrutinize the deal.

Analysts believe BT is a likely acquirer of TalkTalk due to Openreach’s slowdown and potential benefits of a tie-up. TalkTalk has been cutting costs and selling assets to address financial problems. Job cuts and reduced marketing budgets risk exacerbating subscriber losses and customer service issues. Both BT and TalkTalk declined to comment on the potential acquisition.



Read more at Yahoo Finance: BT plots TalkTalk takeover as cash crisis escalates