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Pipex to sell to Tiscali for £210m
Friday 13 July 2007 01:10:13 by John Hunt

As suspected previously, Pipex are set to announce a £210million buy out of its broadband and voice customers today following talks with Italian competitor Tiscali. The Pipex brands encompassed 570,000 broadband customers at the end of 2006. The growth of Pipex over recent years has seen them consolidating Bulldog, Freedom2surf, Nildram and Toucan under the Pipex group.

When put up for sale, Pipex hoped they would be able to sell the business as a whole, but although initial interest looked promising, a complete buyout for the company was never found. The fate for the rest of the business, including hosting services and a Wi-Max venture is, as yet, unknown.

Comments

Posted by jimmythesecond over 9 years ago
Any bets against a few seconds after this announcement that one of the biggest mass exoduses not seen since biblical times?

Anyone?
Posted by jimmythesecond over 9 years ago
"Mass exoduses will begin" - I meant to say.

As a one time "Classic" Pipex customer, this does come as sad news.
Posted by dayday01 over 9 years ago
well, well. The problem in the UK is not with the ISPs, but with BT and the slow service.
Posted by carrot63 over 9 years ago
I've had mainly a BT connection through PlusNet, except for 4 months last year when I was shovelled off onto Tiscali wholesale LLU. BT is 20 percent faster and far more reliable than Tiscali ever was (I can use the phone and BB at the same time - not the case with Tiscali LLU).

If I was a Pipex customer, I'd be at the front of the exodus, which I don't doubt will indeed be biblical.
Posted by Louis_simpson over 9 years ago
Do you really actually think that more than about 5% of customers will actually know or care??
Posted by CARPETBURN over 9 years ago
LOL Louis if 5% do know, believe me they will care, then again Pipex are such a shambles Tiscali may actually improve things, something previously thought scientifically impossible.
As a Ex-Pipex user I say good riddence to them, and im sure other current and ex-users would agree.
Posted by herdwick over 9 years ago
Ouch, £368 per customer compared to the £255 BT paid for the Brightview Group.
Posted by Justin over 9 years ago
I feel sorry for everyone, Tiscali have ruined many a good ISP in the past.
Posted by keith_thfc over 9 years ago
What's the big deal?

To me Pipex and Tiscali are both as bad as each other when it comes to their attitude towards customers.

You only have to read the f2s/Nildram forums to realise these ISP's are but a pale shadow of their former selves, 2 years ago before Pipex took over.
Posted by huntyz over 9 years ago
Someone at PIPEX really messed up good.
Posted by padrone over 9 years ago
I wonder if TISCALI will let the current PIPEX customers who have the full package at £29.99 will REDUCE it to the £19.99 that they are offering to new customers at the present time. Ill bet they wont!!!!!
Posted by Justin over 9 years ago
Anyone who thinks Pipex are worse than Tiscali has never experienced Tiscali. They are even breaking DNS now.
Posted by huntyz over 9 years ago
I used tiscali for 56k about 4 years ago and even then it would disconnect about 5 times every hour.
Posted by gayboy-ds over 9 years ago
£368 per customer does sound rather foolish to me. Someone must of gone wrong there.

I doubt they will reduce the price to customers just yet, give it 12 to 18 months before they start to do "brand integration" ;-)

I must say I am on Orange at my mums and Sky at my dads, in comparision, Tiscali were better!
Posted by ETEE over 9 years ago
I predicted this in March 2007
http://www.thinkbroadband.com/news/3017-pipex-up-for-sale.html
I wonder if my other prediction will come true?
Posted by herdwick over 9 years ago
it is now actual news.... "Pipex Communications plc, a major provider of telecommunications and internet
solutions including broadband, voice, web hosting and network services, today
announces that it has entered into an agreement for the sale of its subsidiaries
owning its consumer Broadband and Voice division to Tiscali S.p.A. (Borsa
Italiana, Milan: TIS) for a total consideration of approximately £210 million,
on a debt-free basis, before adjustments. The corporate broadband customers
will remain within the Pipex Group. "
Posted by Silvereyes over 9 years ago
£368 per customer is way over the top. Based on Pipex's own figures for earnings per customer it's going to take Tiscali at least five years to recoop that.

One has to wonder what else they were given to sweeten the deal...
Posted by ytsorf6 over 9 years ago
Wow....
I was a bit annoyed that after 7 years as a Pipex Customer, they decided that they no longer required my business - I've just been terminated due to FUP Enforcement, even though no-one at Pipex can tell me what I did wrong (other than having high volumes of data - on an unlimited package).....
Now I've read this I'm actually quite pleased....
Posted by gayboy-ds over 9 years ago
Yeah thinking about it Pipex would be worth £210m with the hosting, business and the WI-MAX licenses, but that alone on broadband customers is silly.

Carphone have totally screwed AOL customers, they messed up their consumer base.
Posted by CARPETBURN over 9 years ago
In Pipex eyes they probably think Tiscali got a bargain as they, unless im wrong originally wanted something like 400 million for the company LOL
Posted by john (Favicon staff member) over 9 years ago
It includes voice customers too.
Posted by Silvereyes over 9 years ago
Here's an interesting titbit from the f2s forums.

http://www.freedom2support.net/forums/showthread.php?t=8951

Now that really would put the cat amongst the pigeons :)
Posted by DickL over 9 years ago
I changed contract in March with Pipex from 2mb download to 8mb guess what? still at 2mb.
They will not even answer E-mails
Posted by humanazarang over 9 years ago
Pipex is my worst ever experience in service and customer care. You simply cannot get any answer or any solution to your questions from them.
Even thinking about the time I wasted to call Pipex, makes my blood pressure hits the roof. Just let them go.
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