Global legal and business services provider DWF has acted as legal adviser to Daisy Group and its shareholders on a landmark merger with Virgin Media O2 Business. This significant transaction will reshape the UK’s business-to-business communications and IT landscape, creating a newly formed B2B entity that brings together the strength and scale of two major industry players.

The newly established business will be majority-owned by Virgin Media O2 (70%) and Daisy Group (30%), with the strategic aim of delivering a fully integrated and future-ready service offering to hundreds of thousands of UK business customers. Subject to standard regulatory approvals, the transaction is expected to complete in the early part of the second half of 2025.

A Visionary Deal Backed by Market Leaders

The merger represents a transformative move in a rapidly evolving digital economy, with both companies bringing deep expertise and market presence. By uniting Daisy’s extensive B2B operations with the business division of Virgin Media O2, the new entity is positioned to become a dominant force in connectivity, cloud, cybersecurity, and IT managed services for businesses of all sizes across the UK.

DWF’s multi-disciplinary legal team played a pivotal role in advising Daisy Group throughout the transaction process. The firm collaborated closely with financial advisers Houlihan Lokey and EY, alongside tax specialists from PwC, to deliver comprehensive transaction support.

The Legal Team Behind the Deal

DWF’s corporate advisory services were spearheaded by Frank Shephard, Partner and Global Head of Corporate, with assistance from Raili Haslam and Narissa Pankhania. They were supported by partners James Cashman, Gary Macdonald, Caroline Colliston, and Dimitris Sinaniotis, demonstrating DWF’s depth of talent across corporate, tax, regulatory, and commercial domains.

Further support was provided by Liz Clark (Director), solicitors Jordan Collinson, Douglas Pyrke, and Feras Alobaidli, associate Eilidh Durkin, and trainee solicitors Fernando Martins, Gabriella Rasiah, and Mark Dimitri.

This transaction builds on a series of high-profile mandates DWF has completed for Daisy Group, including:

The merger of Daisy’s corporate services arm with Wavenet, forming the UK’s largest independent IT managed services provider with a £500 million turnover and a 2,000-strong workforce.

The acquisition of 4Com Technologies, further expanding Daisy’s capabilities in business communications.

Leadership Perspectives: Strategic Synergy and Growth

Reflecting on the merger, Frank Shephard, DWF’s Global Head of Corporate, stated:

“We are proud to have supported Daisy Group on this landmark deal which brings together two major players in the UK B2B communications and IT market. The transaction represents a significant milestone for Daisy and positions the new company for continued growth and innovation in a rapidly evolving sector. Congratulations to everyone involved.”

Adding to this, Matthew Riley, Founder and Chairman of Daisy Group, highlighted the broader significance of the deal:

“This is a major milestone in Daisy’s 24-year journey. This transformational transaction will revolutionise the telecommunications and IT landscape, creating the most comprehensive offering for businesses across the UK. Growth is at the forefront of the national agenda, and high-quality, scalable IT and communications infrastructure is central to that ambition.”

“Our newly formed business entity will offer end-to-end solutions tailored to the ever-changing needs of UK enterprises, led by expert teams with an unwavering commitment to customer service. This merger also sets the stage for the next ambitious phase of growth for our organisation.”

Conclusion: A New Era for UK Business Connectivity

The merger between Daisy Group’s B2B operations and Virgin Media O2 Business signals a bold and forward-thinking move in the UK telecoms and IT services space. With the backing of experienced legal, financial, and tax advisers, the deal underscores Daisy Group’s commitment to scaling its services, innovating across sectors, and supporting UK businesses in an increasingly digital-first economy.

For DWF, the transaction highlights the firm’s ability to deliver sophisticated legal solutions on complex, high-value transactions that are reshaping entire industries. As the new entity prepares for launch in 2025, the UK market can expect a stronger, more integrated partner in business connectivity and digital infrastructure.