An internet provider backed by one of the largest specialist alternative asset managers in the country has acquired a counterpart from private equity group Foresight.
Manchester-based Telcom Group has snapped up fixed wireless and high-speed fibre network provider Luminet for an undisclosed sum. The London business was founded in 2005 by CEO Sasha Williamson and has been backed by Foresight since 2018 after it made a £3m investment.
Telcom Group has been backed by Gresham House after it initially committed to invest £63m in 2021 through its British Strategic Investment Fund (BSIF). The group was founded in 2014 and operates three brands – Telcom, ClearFibre and WeFibre.
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According to its most recently published set of accounts, Luminet posted a revenue of £6.2m and a pre-tax loss of £1.2m. Its results for the year to March 31, 2023, are expected to be published by the end of the year.
Christopher Baldock, Telcom Group's chairman, said: "The board of Telcom are delighted to be working with the team at Luminet whose London footprint and strong channel proposition will complement and integrate into Telcom's network infrastructure and provide a platform for our product portfolio of applications, products and services aimed at the business market."
Simon Adcock, head of portfolio and co-fund manager of sustainable infrastructure funds at Gresham House, added: "We are very pleased to welcome Luminet into Telcom group. The two businesses are a strong strategic fit in terms of their culture and values, the geographies they cover, and the products and service they provide.
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"The acquisition will provide a platform for the accelerated growth of Telcom with the ability to service business customers on-net across the 海角视频."
Shaun Gibson, Telcom Group co-founder, said: "Luminet provides the key London footprint to complement our Hypercity fibre networks with Manchester, Leeds, Liverpool and Birmingham now complete, we are rapidly becoming the go to high-speed network provider for business customers & channel partners throughout the 海角视频.
"The combination of Telcom and Luminet sees Telcom Group become the largest B2B fixed wireless network provider in the 海角视频 and helps accelerate our ability to support Britain’s digital revolution and ultimately connect customers, to a network that’s built for greatness."
In May 2022, Telcom Group relocated its headquarters to Manchester's Northern Quarter after signing a deal worth around £300,000 a year.
It was announced in July this year that Gresham House was to be bought by Searchlight Capital Partners for £469.8m. The deal is expected to complete in the coming months.