Pipex seeks buyer for remaining assets after £8.5m interim loss
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Pipex has appointed the investment bank UBS to sell off the company's remaining assets as it swung to a loss in the first half of the year after restating its accounts.
Pipex recently completed the £210m sale of its broadband and telecoms assets to Tiscali, and after receiving a number of approaches for its remaining assets the company has moved to find a buyer for the residual businesses, comprising aweb hosting unit, a networkservices division and a wireless broadband joint venture with Intel built around the wimax standard.
It is no surprise that the residual business has been put on the block, and the process of finding a buyer is expected to take around three months.
The company recorded a loss before tax of £8.5m in the first half of the year compared to a small profit in the same period a year earlier, after restatingits accounts using the IFRSstandard. Revenue increased nearly 60 per cent to £189m over the period, although the vastmajority of that figure was derived from its large consumer broadband and voice business, famous for its adverts using the former Baywatch star David Hasselhoff.
Peter Dubens, Pipex founder and chairman, said he is looking for a single buyer for the hosting and network services businesses and will look to float the wireless division.
Mr Dubens, who also co-founded P&J Smoothies, said he could look to buy out the hosting and network services divisions through the Oakley Capital Private Equity vehicle, in which he is a partner. As a result, Pipex has established an independent committee excluding Mr Dubens to consider any offers.
Pipex said that the prospects of its hosting division – the second largest in Europe, with 2 million domain names – and its network services unit are "robust", while the wimax business has a "major" long-term growth opportunity.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments