8/17/2009 10:24:00 AM
Daisy Group buys Redstone for £17m
Daisy Group has bought the telecoms arm of Redstone for £17m, as it looks to consolidate the reseller market.
The move is the third acquisition for Daisy Group, which has also bought telecoms and IT supplier Eurotel, and communications and technology company AT Communications.
It has bought Redstone’s mobile and fixed-line businesses as part of the deal.
Daisy Group CEO Matthew Riley said: ‘We want to be the main consolidator in the mid-market space in the telecoms arena.’
The company expects the acquisition to enhance its earnings in the near term.
Daisy Group will be looking at a number of acquisitions over the next 12 months, but is currently focusing only on the telecommunications sector.
Daisy Group was formed after British telecoms company Daisy and Vialtus were reversed into AIM-listed Freedom4 Group in a £123m deal.
Redstone said the proceeds from the sale would be used to reduce its bank debt.