BT agrees to acquire TalkTalk in rescue deal

BT has agreed to acquire TalkTalk’s consumer business and wholesale arm PlatformX Communications (PXC) out of administration, in a rescue deal intended to keep services running for about 2.5 million customers. Administrators Alvarez & Marsal Europe said all 900 employees in the businesses would transfer to BT. The transaction price was not disclosed in some reports, and the deal is subject to government scrutiny. BT said TalkTalk would continue as a separate brand and that the immediate priority was to stabilise the business. Its customers include households and businesses, while PXC provides wholesale telecoms services. The reports describe the agreement as a way to avoid disruption if TalkTalk’s operations had collapsed; the extent of any potential effects on particular public services has not been established in the supplied accounts. Culture Secretary Lisa Nandy has asked the Competition and Markets Authority to investigate the acquisition and report by October 19 under Enterprise Act powers. The government retains authority to consider the findings, including competition and public-interest concerns. No final regulatory decision or conditions have been reported.