Original article ISPreview UK:Read More
Alternative network provider Airband, which has built a mixed Full Fibre (FTTP) and Fixed Wireless (FWA) gigabit broadband network across rural parts of England and North Wales, has confirmed to ISPreview that they’ve now “commenced a formal sale process” to try and find the right “long-term owner” for the business.
The provider only recently went through a period of restructuring, which resulted more jobs losses and adjusted the company’s focus toward commercialising their existing broadband network instead of building new infrastructure. The outcome reflected many of the same pressures as other alternative networks (altnets) have been facing over the past few years (e.g. high interest rates, rising build costs and strong competition).
However, the provider has also been busy conducting a strategic review of the business and its future ownership, which now appears to have reached its conclusion. Suffice to say that sources began informing ISPreview yesterday afternoon that the provider was preparing to be sold and Airband has since confirmed that development.
Airband has previously stated that their broadband network currently spans a total of “more than 440,000 premises in over 200 communities across 7 counties“ (here), which we were told breaks down as being 175,000 premises via “fibre” (FTTP) and 265,000 premises via wireless (Ready for Service). The company has also recently expanded FTTP into off-net areas by partnering with Openreach (here) and have a total of 30,000 customers.
A spokesperson for Airband told ISPreview:
“Following a strategic review of the business and its future ownership, Airband has commenced a formal sale process to identify the right long-term owner for the company.
Airband continues to operate and trade as normal throughout the process. Our network remains fully operational and there is no impact on customer services or day-to-day operations.
The business is being taken to market as a fully operational going concern. The process is ongoing and commercially confidential, and it would not be appropriate to comment on potential buyers or outcomes at this stage.
Our focus remains on supporting our customers, maintaining our network and continuing to deliver our commitments while the process progresses.”
ISPreview understands that Airband’s recent restructure also concluded last week, although this is not directly connected to the sale of the business and began several months ago. The challenge will be in finding a suitable consolidation partner in a sector where quite a few altnets are also looking to consolidate, but where securing a deal has often proven to be quite difficult due to disagreements over network valuations, debt levels and so forth.
The group’s most recent annual accounts last year revealed that revenues to the end of 2024 had increased by 37% to £6,667,000 and their total staffing count had fallen from 451 to 285. The company’s operating loss increased to £47.23m (2023: £37.06m) and they reported total assets of £179.81m and total liabilities of -£224.92m. But the results also predicted achieving EBITDA positivity by 2028 (i.e. earnings before interest, taxes, depreciation, and amortisation).