Carphone Warehouse to spin off TalkTalk by 2010

Carphone Warehouse will spin off its telecoms arm next year, as its revenue fell two per cent.

carphone warehouse

Carphone Warehouse has confirmed plans to split off its telecoms business, TalkTalk, by July 2010.

The announcement came as Carphone Warehouse released annual results showing revenue dropped to 1.38 billion from 1.42 billion last year, representing a two per cent decline.

However, newly launched Best Buy Europe, a 50 per cent joint venture with US retail chain Best Buy, grew revenues 15 per cent to 3.56 billion.

Speaking on a conference call, Carphone Warehouse chief executive Charles Dunstone said the time has come to split its retail and ISP businesses. "It's been increasingly obvious that the group is now two businesses," said Dunstone.

"Both have reached the point where there are no material synergies between them... they need to operate independently."

Dunstone said Carphone Warehouse intends to make the two separately listed companies, allowing shareholders a better understanding of their value.

Carphone Warehouse is currently completing a 236 million deal to buy the UK arm of Italian broadband firm Tiscali. Once completed the deal will make TalkTalk the second largest UK broadband provider.

TalkTalk claims to have 2.8 million broadband customers and 1.1 million voice-only and dial-up subscribers.

Featured Resources

The ultimate law enforcement agency guide to going mobile

Best practices for implementing a mobile device program

Free download

The business value of Red Hat OpenShift

Platform cost savings, ROI, and the challenges and opportunities of Red Hat OpenShift

Free download

Managing security and risk across the IT supply chain: A practical approach

Best practices for IT supply chain security

Free download

Digital remote monitoring and dispatch services’ impact on edge computing and data centres

Seven trends redefining remote monitoring and field service dispatch service requirements

Free download

Most Popular

Apple MacBook Pro 15in vs Dell XPS 15: Clash of the titans
Laptops

Apple MacBook Pro 15in vs Dell XPS 15: Clash of the titans

11 Oct 2021
Best Linux distros 2021
operating systems

Best Linux distros 2021

11 Oct 2021
HPE wins networking contract with Birmingham 2022 Commonwealth Games
Network & Internet

HPE wins networking contract with Birmingham 2022 Commonwealth Games

15 Oct 2021