Sir Alan Sugar has sold Amstrad, the business that brought him both fame and fortune, to BSkyB in a deal worth £125m.
Sir Alan set up Alan Michael Sugar Trading in 1968 and the business became one of the UK’s best-known companies after it became one of the first to produce affordable home computers during the 1980s.
However, the electronics manufacturer has seen its fortunes slide since then and Sir Alan is now best known for his role in the BBC show the Apprentice.
BSkyB is also one of its Sir Alan’s biggest customers as the company run by Rupert Murdoch’s son James buys accounts for 75% of Amstrad’s revenues.
It is believed that Sir Alan will personally pocket about £34m from the deal and it follows his recent exit from Tottenham Hotspur Football Club, which netted him £25m.
The entrepreneur explained his reasons for exiting on Radio 4's Today programme this morning:
“The fact of the matter is that I also turned 60 this year and have done 40 years of hustling in this business and I have to start thinking of my team of loyal staff, many of whom have been around me for a very long time.”
He also said the consumer electronics industry had changed ‘dramatically’ since he started Amstrad, with many retailers now buying their own products from China.
It is believed that Amstrad will retain its name after the deal is completed.
© Crimson Business Ltd. 2007
