27 March 2006
ISP Pipex has bought the home telephone service from the Caudwell Group.
Pipex bought Homecall for an undisclosed sum, including the assumption of bank debt of approximately £43 million, which has now been repaid by Pipex.
Homecall currently provides voice, line rental, and broadband services to over 500,000 customers of which in excess of 350,000 take more than one service.
The acquisition also offers a high-street presence to Pipex through the Phones4u retail chain.
Commenting on the acquisition, telecoms expert at independent comparison service uSwitch.com Chris Williams, said: "Being able to offer a range of telecom products such as broadband, VoIP and home phone through a high street retailer such as Phones4u will prove hugely beneficial for Pipex.
"TalkTalk, Post Office and Tesco are reaping the rewards from having a high street presence and Pipex' existing customer base could grow significantly if they can capitalise on the highly competitive UK market."
"Overall, this puts Pipex in a very strong position to compete with the major players in the telecoms market. In addition, we anticipate a potential IPTV offering, similar to those announced by BT Vision and BSkyB recently."
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