BT is quietly raising a for-sale sign on its international arm with plans to transform the group’s fortunes

BT has quietly hoisted a for sale sign over its international arm as plans to transform the group’s fortunes under chief executive Allison Kirkby gather pace.

The Global division falls within the BT Business unit and is led by Bas Burger, who was appointed in April last year.

Global services include the sale of Internet and telephone connectivity to more than 1,000 multinational business customers worldwide.

But the division’s profitability has fallen in recent years and earlier this year BT said it was looking at all options for the business.

A source close to the company told The Mail on Sunday that Kirkby was determined to sell the company and would be willing to listen to offers.

The company is difficult to value and generated £2.4 billion in revenues and £500 million in revenues last year, but no cash flow.

The source said Kirkby had privately made it clear that divesting non-UK assets was a priority. “Allison has a track record of making bold decisions and getting things done,” the source added.

Potential buyers include private equity houses. Some have expressed interest, believing the company could turn around in a five-year period. According to analysts, US rival Verizon has been mentioned as a possible buyer, while tech giants such as Amazon and Microsoft may also be interested.

Selling the division piece by piece is also an option. Two weeks ago it was reported that Macquarie-backed Viatel Technology was considering action against BT Ireland. In September, Telecom Italia expressed interest in acquiring the remains of BT’s Italian operations.

BT said: ‘It could be one transaction depending on which option maximizes value.’ BT’s Business division, which also includes the Global unit, accounts for 40 percent of group turnover. The company saw its turnover fall 2 percent to £8.1 billion in the year to the end of March.

Operating profit fell to £646 million from £898 million in 2023. Global is seen as a laggard within the Business division, which frustrates Kirkby. Karen Egan of Enders Analysis said: ‘The problem is that Global is selling a lot of existing services that are simply not that profitable.’

The move comes as BT prepares to announce its half-year results this week. Under Kirkby, who took over in February, BT’s share price has risen 32 percent. Analysts expect updates on the performance of Openreach, which runs the UK’s broadband network.

They will also want to know what role artificial intelligence will play in the group’s future.

Kirkby is under pressure from three billionaire investors on BT’s share register. In August it was announced that Indian telecom magnate Sunil Bharti Mittal would acquire the 25 percent stake in the troubled Altice from billionaire Patrick Drahi. The move came just a month after one of the world’s richest men, Mexican Carlos Slim, took a 3 percent stake in BT.

Neither Mittal nor Slim have made public their intentions for BT.