Telecoms entrepreneur Matthew Riley is on the verge of a major merger deal that could shake up the industry. Sky News has learned that Riley’s company, Daisy Group, is set to combine its Corporate Service Business with Wavenet, a rival majority-owned by the Australian financial giant, Macquarie.
The deal, which is expected to be announced this week, will see Daisy’s arm being demerged from the group and absorbed into Wavenet. This move will create a company with a valuation of over £1bn, making it a significant player in the telecoms services sector.
With more than 20,000 UK enterprise customers, including big names like Costain, the NHS, and Transport for London, the combined group will be known as Wavenet. The deal is being backed by Macquarie, which will remain the largest individual shareholder, and debt financing from Ares.
This merger will make Wavenet the largest independent provider of managed services in Britain, with over 2,000 employees. It comes at a time of increasing demand for IT and cybersecurity services, positioning the company well for future growth and success.
Matthew Riley, Daisy’s founder and executive chairman, has been a key player in the telecoms sector, with this deal marking his second £1bn-plus transaction in recent weeks. The industry will be watching closely to see how this merger shapes the landscape of telecoms services in the UK.