Virgin Media O2 Said to Seek Investor for £5 Billion Network Arm

  • VMO2 aims to raise over £1 billion from UK fixed network stake
  • Company targeting infrastructure, pension and sovereign funds

Virgin Media O2 is working with advisers to raise at least £1 billion by selling a minority stake in the new venture.

Photographer: Jakub Porzycki/NurPhoto/Getty Images
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Virgin Media O2, the owner of UK’s second-largest fixed network, is seeking outside investors to help fund its £5 billion ($6.6 billion) newly created network company to challenge incumbent BT Group Plc, people with knowledge of the matter said.

VMO2 is working with advisers to raise at least £1 billion by selling a minority stake in the new venture, whose valuation could be more than £5 billion, said the people, who asked not to be identified as the information is private.