When rumours of the Pipex takeover started, four major companies were said to be interested: BT, Carphone Warehouse, BSkyB and Virgin Media. All were reportedly very interested in procuring the sixth largest UK internet provider, however matters may have taken a turn for the worst for Pipex if they expected a bidding war.
It has now been confirmed that Carphone Warehouse has pulled out of the bidding following BSkyB and Virgin Media, leaving only BT as the sole interested party.
It was reported at the weekend that Carphone Warehouse had tried a ‘low ball’ offer, partly due to their company profits warning and also down to the belief that the company was being over valued.
Part of the current high value for Pipex is due to their projected earnings in WIMAX (Worldwide Interoperability for Microwave Access) which enables faster wireless internet in comparison to wi-fi.
Pipex’s internet services are technically little better than its rivals therefore WIMAX was their unique selling point, however with only one runner left, Pipex chairman Peter Dubens, who was rumoured to be keen to sell, may now have to wait.
None of the parties involved have yet to issue any comments to Top 10 Broadband.
See how Pipex packages compare with other ISPs at Top 10 Broadband