BT wants UK ISP

Representatives of British Telecom have announced their cash offer for the UK ISP Plusnet; the cash offer was £67 million (or £2.10 per share) and would reportedly add 200,000 broadband subscribers (about a ten percent jump) to the BT customer base. The offer has been unanimously recommended by the PlusNet directors.

PC Pro reports that “PlusNet’s most recent fiscal year saw it turn a net profit of £3.9m on revenues of £41m. BT says PlusNet will retain its name identity, continue to operate out of Sheffield, and praised the company for its ‘strong reputation for both customer service and innovation.’”

However, PC Pro damningly added that “Recent surveys of customer service levels from ISPs, however, showed PlusNet performed poorly, with satisfaction levels plummeting 10 percent.”

BT Retail chief executive, Ian Livingston said: "This offer makes great sense for BT. We already provide the UK’s most popular and best-performing ADSL broadband service and this acquisition will ensure that even more people can enjoy our market-leading services. PlusNet’s customers and employees will benefit from the combination of PlusNet’s excellent platform and access to BT’s resources and technology development.”

“BT to buy PlusNet for £67m” by Matt Whipp can be read at PC Pro.