Matthew Riley Just Made A Bold Move-what's He Planning Next?
- 01. Matthew Riley's Recent Business Moves: The £1.4bn Virgin Media O2 Merger and Rebrand to O2 Business
- 02. The Transformative Virgin Media O2 Merger Details
- 03. Key Leadership Changes and Operational Structure
- 04. Previous Strategic Moves and Acquisition History
- 05. Market Impact and Industry Positioning
- 06. Historical Context: Riley's Entrepreneurial Journey
- 07. Future Outlook and Strategic Vision
Matthew Riley's Recent Business Moves: The £1.4bn Virgin Media O2 Merger and Rebrand to O2 Business
Matthew Riley, founder and Executive Chairman of Daisy Group, completed his most significant business move on May 11, 2025, by merging Daisy Group's B2B operations with Virgin Media O2 Business in a £1.4 billion deal that created the UK's second-largest telecommunications company behind BT. The merged entity officially rebranded as O2 Business on April 28, 2026, with Riley holding a 30% stake and serving as chairman while Jo Bertram assumed the CEO role. This transaction, which Riley called his "biggest yet" after a decade of negotiations, represents the culmination of 20 years of acquisitions where he purchased over 50 telecoms and IT services businesses.
The Transformative Virgin Media O2 Merger Details
The merger between Daisy Group and Virgin Media O2 Business represents a game-changing transaction in UK telecommunications that Riley pursued for more than 10 years before Virgin Media O2 finally agreed to the deal. The combined entity generates approximately £1.4 billion in annual revenue and serves as the primary B2B telecommunications provider for small and medium enterprises across the United Kingdom.
Under the deal structure terms, Daisy Group holds a 30% equity stake in the consolidated business while Virgin Media O2 maintains majority ownership. The merger combines Virgin Media O2's business operations with Daisy Group's complementary direct B2B operations, creating a company that will be second only behind BT in the UK telecommunications market in terms of size.
| Metric | Value | Source |
|---|---|---|
| Total Deal Value | £1.4 billion revenue | |
| Daisy Group Stake | 30% equity | |
| Combined Annual Revenue | £1.4 billion | |
| Market Position | 2nd behind BT | |
| Jobs Secured | 200+ at headquarters | |
| Rebrand Completion Date | April 28, 2026 |
Key Leadership Changes and Operational Structure
Riley will chair the new company while Jo Bertram, previously managing director of Virgin Media O2 Business, serves as CEO once regulatory approval was secured. At the outset, both businesses operated under their separate brands from their current office bases, with Daisy maintaining its Lancashire headquarters in Nelson.
The company continues to be led and chaired by Riley with Bertram as CEO, supported by fixed and mobile connectivity wholesale agreements with Virgin Media O2. Supplier arrangements with Telefónica and Liberty Global enable the merged entity to leverage high-growth products and services from across the portfolio of those wider shareholder groups.
- May 11, 2025: Daisy Group and Virgin Media O2 announce £1.4bn B2B merger deal
- May 2025: Deal consolidates Virgin Media O2 Business with Daisy Group holding 30% stake
- August 2025: Eight-month integration period begins with focus on speed and simplicity
- April 28, 2026: Official rebrand to O2 Business completes
- April 29, 2026: Daisy brand officially disappears into O2 Business
Previous Strategic Moves and Acquisition History
Before the Virgin Media O2 merger, Riley executed a strategic stake sale on January 18, 2023, when he sold a stake in Digital Wholesale Solutions (DWS) to a private investor at a £1bn valuation with plans for a London Stock Exchange IPO. This move secured 200+ jobs at the company's headquarters in Nelson, Lancashire, and opened the door to future growth and development of the business.
Riley has demonstrated a huge appetite for takeovers, snapping up more than 50 smaller telecoms and IT services businesses over the past two decades. In 2015, he bought Phoenix IT, an ailing services firm, for £135m, and splashed out £165m on Alternative Networks the following year.
The potential sale plans accelerated in December 2017 when the 43-year-old pursued a £1bn-plus sale of his Daisy Group empire, with potential buyers including Vodafone and Virgin Media, which had both tried to buy Daisy in the past. The deal was handled by UBS and Oakley Advisory, expected to generate several hundred million pounds for the Burnley-born businessman who owns about half the company.
Market Impact and Industry Positioning
This transformative deal gives Daisy Group a third of a new entity comprising Virgin Media O2's business operations, marrying nimble entrepreneurship of a regional tech champion with infrastructure of global telecoms giants. The merger places the Lancashire-based Riley at the helm of a newly merged business to become a pivotal player in the UK's small and medium enterprise technology market.
Riley stated the deal will reshape UK business telecoms and technology, going beyond just clearing his debt pile to create a major new force in the UK business communications and IT sector. The company will operate making O2 Business easier to work with and better aligned with what organisations need day to day.
"I've probably asked five or six times over the last 10 years and I asked again, and this time they said yes." - Matthew Riley on finally securing the Virgin Media O2 partnership
"This next phase is about delivering on that, making O2 Business easier to work with and better aligned with what organisations need day to day." - Matthew Riley on the rebrand
Historical Context: Riley's Entrepreneurial Journey
Matthew Riley is a British entrepreneur who left school at 16 and was named Ernst and Young's Young Entrepreneur of the Year in 2007. He founded Daisy Group, an IT and technology provider to businesses in the UK, and has built it into Britain's largest independent supplier of phone and IT services.
The 43-year-old Burnley-born businessman owns about half of Daisy Group and took the company private in 2014 with a £495m takeover backed by investors Toscafund and Penta Capital. Since buying back Daisy, he and chief executive Neil Muller embarked on an acquisitions spree that included major purchases in 2015 and 2016.
Riley appeared as a judge in the early days of TV's The Apprentice, though he isn't known for making wild claims when he describes this deal as a game-changer. His Lancashire roots remain central to his identity, with Daisy maintaining its headquarters in Nelson, Lancashire, throughout the merger process.
Future Outlook and Strategic Vision
Riley expressed hope that the Daisy name will live on eventually, though for now the business operates under the O2 Business brand from current office bases. The next phase focuses on delivering speed and simplicity based on clear customer feedback regarding what organisations need day to day.
The company remains proud of progress made so far, with Riley excited about what comes next after eight months of intensive work bringing everything together. The commitment, resilience, and hard work across the team during the integration period was described as outstanding by Riley.
This is just the start with a lot more coming as O2 Business becomes the partner that UK organisations can rely on for connectivity, communications, and wider technology that keeps businesses running. The merged entity will continue operating its hugely successful, clear and simple, customer-first, channel-focused model.
What are the most common questions about Matthew Riley Just Made A Bold Move Whats He Planning Next?
What is Matthew Riley's latest business move?
Matthew Riley's latest business move is the official rebranding of the merged Daisy Group and Virgin Media O2 Business entity to O2 Business on April 28, 2026, completing the £1.4 billion merger announced on May 11, 2025.
What stake does Matthew Riley hold in the merged company?
Matthew Riley's Daisy Group holds a 30% equity stake in the consolidated O2 Business entity, while Virgin Media O2 maintains majority ownership.
Who is the CEO of the new O2 Business company?
Jo Bertram, previously the Managing Director of Virgin Media O2 Business, serves as CEO of O2 Business, while Matthew Riley remains chairman.
What is the market position of the merged company?
The merged O2 Business entity is the second-largest telecommunications company in the UK behind BT, with approximately £1.4 billion in combined annual revenue.
When did the Daisy brand disappear into O2 Business?
The Daisy brand officially disappeared into O2 Business on April 29, 2026, after the rebrand completed on April 28, 2026.
Why did the merger raise eyebrows in the industry?
The merger raised eyebrows because Riley pursued the deal for over 10 years before Virgin Media O2 finally agreed, and it creates a £1.4 billion revenue company that reshapes UK business telecoms.