British mobile network operator (MNO) Three UK has reached an agreement to acquire wireless broadband provider UK Broadband Limited, which offers its TD-LTE-based services under the Relish banner. In a press release confirming the development, Three UK noted that under the transaction UK Broadband – which is said to provide connectivity to around 15,000 customers – will become its wholly owned subsidiary. According to Three UK, however, the transaction remains ‘subject to the fulfilment of a number of conditions before completion can take place’.
Three UK will pay GBP250 million (USD312 million) for the wireless broadband operator, which is currently owned by PCCW, the holding company of Hong Kong-based HKT Group Holdings Limited. Further, a deferred GBP50 million will be made available as a credit toward an MVNO agreement on Three UK’s network, with this effectively paving the way for PCCW to launch a mobile service for its corporate telecoms customers in the UK.
Commenting on the proposed deal, Dave Dyson, Three UK’s chief executive, said: ‘UK Broadband gives us an opportunity to expand our ambition to provide high quality and great value internet connectivity for UK consumers.’