Scottish communication company Thus, the owners of Demon Broadband, are on the brink of a massive takeover bid from Cable & Wireless.
Thus, which grew out of the telecoms operations of Scottish Power, is currently valued at around £250 million. Cable & Wireless revealed to investors that it had made an approach to the board of Thus, whose shares then shot up by 25 per cent.
In a statement to shareholders, the company said:
“Thus is confident in its future as an independent group, which offers an attractive combination of strong growth and future cash flow generation. The Board remains focused on delivering maximum value for shareholders and will evaluate any proposal from any third party against the value that the company can deliver as an independent group.”
Cable & Wireless are the 2nd biggest telecoms provider in the UK behind British Telecom, and they will continue to prosper having just landed a £100million contract with supermarket chain Tesco.
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