Kingston reveals takeover approach
The flurry of activity in the telecoms sector continued today when Kingston Communications revealed it was mulling a takeover approach.
The Hull-based group, which is partly owned by Kingston-upon-Hull City Council, said the move that may lead to an offer contained a number of conditions.
Shares rose 19% to give it a market value of around £345m (€512m).
It comes just a month after broadcaster BSkyB agreed a £211m (€313m) takeover of telecoms firm Easynet, allowing it to go head to head with BT and cable operators in the market for broadband.
Kingston provides services to UK business customers as well as residents in its East Yorkshire heartland. Around 50,000 Hull residents took part in the flotation of the former City Council business in June 1999.
Today’s move follows speculation that Kingston would make a good acquisition for a larger fixed-line player.
