Deutsche Telekom to acquire BT?
Deutsche Telekom is said to be eyeing a takeover of BT, following reports that it is close to selling its stake in T-Mobile US.
The German operator is reportedly in advanced talks over the sale of its 67% stake in the US unit to satellite pay-TV company Dish Networks. According to the Telegraph, it may use proceeds from the sale to acquire BT.
Selling T-Mobile US to Dish could pave the way for Deutsche Telekom to exit the US market and focus on its European markets.
“Deutsche Telekom is clearly selling out of the US and clearly they don’t want to give the money back to shareholders, they want to use it in Europe. They want to buy BT,” an industry source told reporters.
In March 2015 the company announced the launch of its European network which connects Croatia, Hungary and Slovakia – the first three of ten countries it aims to link up.
“With our European network and the cross-border infrastructure, we will be able to set the tone and not just dance to the beat of drummers from the US and Asia,” said Deutsche Telekom CEO Timotheus Hoettges.
Deutsche Telekom is already set to become a major shareholder in BT – with a 12% stake in the company – following the completion of its £12.5 billion acquisition of EE, due to close in 2016.