TalkTalk founder and Ares eye consumer arm as Opus deal stalls

The founder of TalkTalk and the broadband group’s primary lender are investigating a plan to take control of its consumer-facing

Those talks have been ongoing for several weeks, and Octopus was recently granted an extension to its exclusivity window.

Binding agreements for the future of both PXC and TalkTalk’s consumer arm have yet to be finalized, though company advisers are reportedly eager to reach a conclusion soon, potentially as early as next week.

The Telegraph reported on Thursday that Octopus and TalkTalk had released a joint statement noting they were “optimistic of delivering the proposed transaction”.

The involvement of Octopus in the PXC deal has resulted in a controversial freeze on investments and withdrawals related to an inheritance tax scheme managed by the firm.

The company has informed investors in the scheme that it expects to provide a further update next week.

While no definitive decisions have been reached regarding the breakup of TalkTalk, several structural options are being weighed to accelerate the change of control for both divisions.

Should the Octopus deal for PXC be finalized, it is expected to cost the buyer approximately £300m.