A former backer of Lebara Group, the mobile virtual network operator, is being lined up to back an audacious swoop on the consumer operations of TalkTalk.
Sky News has learnt that Alchemy Partners is working with Opus Broadband on a bid which would propel the buyers into the ranks of Britain's biggest retail broadband suppliers.
Insiders cautioned that a deal had yet to be struck and might not be concluded.
Money latest: We just got a clue how much pensions will rise next year
Any transaction would follow an agreement for TalkTalk to offload its wholesale network to Octopus Investments, which already manages broadband infrastructure group Fern Trading.
Sky News revealed the Octopus and Opus negotiations with TalkTalk earlier this month.
One insider said the consumer deal was expected to cost Opus Broadband in the region of £250m.
If they proceed, the two deals will constitute a full break-up of TalkTalk, which was founded by Sir Charles Dunstone, one of Britain's best-known entrepreneurs, more than 20 years ago.
The consumer arm serves about 1.8 million customers and has also drawn interest from Vodafone.
Opus Broadband is run by the former boss of Tiny Computers, Tahir Mohsan.
People close to the process have cautioned that the retail operation could continue under TalkTalk if a sale cannot be finalised.
Alchemy and TalkTalk declined to comment.
(c) Sky News 2026: Former Lebara backer eyes TalkTalk consumer arm
Israeli army orders criminal investigation into killing of Palestinian girl Hind Rajab
Track 'irregularity' found at site of Lewes train derailment, investigators reveal
Moderna's share price nearly doubles on hopes of cancer treatment breakthrough
Two men jailed for violent disorder at anti-migrant protests outside asylum seeker hotel
Asylum seekers warned not to make 'kissing sounds' at people in new guidance about living in UK
Nick Kyrgios banned from tennis after testing positive for cocaine
Woman accusing ex-world snooker champion Graeme Dott of child sex abuse denies saying 'I'm going to be rich'
Public vote on which Wallace and Gromit character will be storm name
