So this is pretty wild - G Network, a London broadband provider, just collapsed into administration after being acquired by FitzWalter Capital just a week prior. The company serves 25,000 customers but apparently racked up £300 million in debt. They're now looking to sell off the fibre infrastructure and customer contracts, and major lenders like NatWest, Investec, and Santander are bracing for losses.

FitzWalter Capital is this investment firm that specializes in buying distressed assets - basically a vulture fund. It was founded by Ben Brazil, a former Macquarie investment banker who was pulling in around £7.5 million annually and was one of the top earners there. The swift move into administration reportedly blindsided employees, who found out during a meeting the night before.

What's interesting here is what this signals for the broader alt-net sector. G Network had ambitious plans back in the day - they wanted to connect 1.4 million London homes with over £1 billion invested. But they only reached around 400,000 properties before running out of steam. The company tried finding a buyer 18 months ago through Jefferies and Nomura but couldn't land a deal at the right valuation.

This G Network collapse is basically a wake-up call for the entire alternative broadband space. These companies spent massive amounts building fibre networks to challenge BT, but rising borrowing costs and slower-than-expected customer adoption have crushed them. The alt-net sector collectively lost £1.5 billion in 2024. There are tons of these broadband startups out there still struggling with heavy debt, and not all of them will find buyers.

Community Fibre is being floated as a potential acquirer for G Network's assets, though insiders say any interest depends on getting the right terms and whether integration makes sense. The real question now is whether other alt-nets will face similar pressures. Ofcom is already preparing contingency plans to keep services running if more providers fail. This could get messy for the sector.