TalkTalk is set to receive a £115 million capital injection from shareholders and lenders including Ares Management, marking the third such funding since December 2024. The UK broadband provider will get £65 million in new senior debt and a £50 million short-term facility to strengthen its finances as potential buyers explore acquiring parts of the business.

The funding comes as TalkTalk attempts to sell its consumer division with 1.8 million customers and its business unit. Virgin Media O2 has been considering buying the consumer division, while TalkTalk's wholesale division executive chair Tom O'Hagan has approached private equity funds about a management buyout of the business unit. Octopus Investments, with £1.2 billion in telecoms assets, could also be interested.

TalkTalk has faced severe financial pressure since Toscafund's 2021 leveraged buyout added £527 million in debt. The company's retail customer base has fallen from over 2.5 million in 2023 to 1.8 million as of November. TalkTalk has secured extensions on about £1.2 billion of existing debt, with bondholders able to take control unless the company maintains at least £20 million in cash each quarter.