Iliad bid for T-Mobile branded ‘inadequate’
15 August 2014 | Kavit Majithia
T-Mobile US CFO Braxton Carter has described Iliad’s $15 billion takeover offer for the company as inadequate, but he has left the door open for the French operator to revisit the deal.
Iliad’s bid in late July came as a surprise to the market after Sprint had appeared to have secured a deal for T-Mobile US for $32 billion.
Sprint has abandoned the offer due to regulatory pressure, and Braxton’s comments has renewed belief that Iliad will make another offer for the company.
Carter said the offer was “very flattering but a very inadequate value proposition”.
“I think rarely people come with their best bid to start,” he added.
Iliad has reportedly claimed it does not need to boost the bid given the fact that Sprint is now out of the running.
T-Mobile US is still open to a deal, and Timotheus Hottges, chief executive at parent company Deutsche Telekom said he is open to selling T-Mobile at the right price.
John Legere, T-Mobile US CEO claimed last week the company will overtake Sprint by the year end in terms of subscribers.
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