Vodafone has confirmed widespread rumours and is paying US$650 million for the independent service provider, Singlepoint 4U. Singlepoint, founded in 1993 by John and Brian Caudwell, is the largest and consistently fastest growing independent service provider in the UK. It employs more than 1,900 staff and currently manages 1.9 million contract customers, of which 1.5 million are Vodafone customers, representing 27% of Vodafone's contract customer base in the UK.
The transaction is subject to EU merger clearance, such approval being expected during September this year.
Gavin Darby, CEO of Vodafone UK, commented: 'We are delighted to reach this agreement with the Caudwell Group. We have had a strong commercial relationship with John Caudwell for many years. Together with the proposed acquisition of Project Telecom, this transaction will increase the direct access to our contract customer base in the UK to 90%. This will give us greater flexibility to develop customer usage of both voice and data services and to offer a consistency of service and products to an even larger section of our customer base'.
John Caudwell, Chief Executive of Caudwell, commented: 'The acquisition of Singlepoint by Vodafone UK will prove to be an extremely positive move for the company, its customers and employees. The growth, development and establishment of Singlepoint as a mainstay of airtime service provision in an extremely challenging market is something of which I am very proud. But Singlepoint's management and staff can also congratulate themselves on the creation of a business which now sets standards on both commercial and customer service fronts.'"
Posted to the site on 12th August 2003
Posted to: www.cellular-news.com/story/9494.php