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Branson puts 'for sale' sign up on Virgin.net

Billionaire balloonist bails out of ISP market...

By Sonya Rabbitte

Published: 6 June 2001 10:52 BST

Richard Branson is to sell ailing ISP Virgin.net just three months after partnership talks with cable operator NTL came to a standstill.

Branson and co-owners NTL have appointed investment bank Lehman Brothers to find a buyer, after NTL opted out of plans to buy out Branson's stake in the company. NTL currently holds a 49 per cent stake in the ISP.

A successful deal would have seen NTL sign up Virgin.net's 600,000 users, while Virgin would have taken control of the ISP's entertainment portal.

Virgin.net has been valued at £240m, but analysts warn that a sale could prove difficult in a hostile ISP market.

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