TalkTalk Business and ARO merge to form £200m IT services group

TalkTalk Business has agreed to merge with managed technology provider ARO, establishing an independent connectivity and IT services company with annual revenues of £200m. The combined entity will employ approximately 650 staff and serve a customer base comprising more than 70,000 businesses and public sector organisations across the United Kingdom.

The transaction combines TalkTalk Business’s national connectivity and data networking infrastructure with ARO’s expertise in managed IT, cloud services, and cybersecurity. London-headquartered ARO brings specific capabilities in these areas to complement the established network assets of TalkTalk Business. This strategic pairing is designed to create a stronger partner with broader capabilities and greater capacity for investment in innovation and service delivery.

The merger represents a significant phase in TalkTalk Business’s transition toward full-service managed IT operations. This shift follows its demerger from the wider TalkTalk Group to become a standalone operating unit, as well as its recent acquisition of Oxfordshire-based IT provider Planet IT. Executives describe the move as a response to a rapidly evolving market where organisations increasingly seek technology partners that offer strategic expertise and broad service capabilities at scale.

In the immediate term, both companies will continue to operate under their existing brands and from their current offices. This approach is intended to ensure operational continuity for clients and staff during the integration process. Ciaran Rafferty, chief executive of ARO, stated that the union creates a business with the scale and ambition to become a leading independent provider in the UK market.

Ruth Kennedy, chief executive of TalkTalk Business, described the deal as an important step in transforming into a leading managed services provider. She noted that the merger brings together two highly complementary businesses to form a leading independent technology partner for UK organisations. The transaction is subject to regulatory clearance under the UK’s National Security and Investment Act, with the review process expected to conclude by late summer.