Phones 4U under new ownership
Phones 4U founder John Caudwell has sold his Caudwell Holdings business to two private equity firms for£1.46 billion.

Providence Equity Partners will buy the 350-store retail chain Phones 4U.

Doughty Hanson will take over mobile phone handset distributor 20:20 Logistics, to be renamed the 20:20 Mobile Group and the Dextra Solutions business, which packages and delivers mobile phone accessories.

Caudwell said: 'The sale process has attracted interest from a large number of high quality bidders and I believe we have achieved a fair price for the business. I am confident we will see further growth in the coming months under new ownership.'

Caudwell has an 85 per cent stake in the company and will receive£1.24 billion for his share. The remaining 15 per cent is owned by Caudwell's brother, Brian, and finance director Craig Bennett.

The group's fixed-line phone service, Caudwell Communications, was sold to Pipex in March for£40 million.

Caudwell said selling the business will allow him to spend more time fulfilling personal ambitions - spending time with his family and working with his charity. He said he still has a number of investment and commercial plans in the pipeline.

The sale is expected to close in September, subject to regulatory approval.

Last year, the group recorded sales of over£2 billion and profits of about£150 million.

The Caudwell Group was founded in 1987 and employs over 8,000 people.