Deutsche Telekom may seek full control of T-Mobile Czech to strengthen Eastern European ops - report.
Deutsche Telekom wants to strengthen its operations in Eastern Europe and in order to do so it may seek to buy the remaining nearly 40% of its T-Mobile Czech unit, the Wall Street Journal reported citing unnamed sources. The German telecommunications company is also in talks to buy Polish broadband optical and IP network provider GTS Central Europe for about EUR 600mn from financial investors Columbia Capital, M/C Venture Partners, Innova Capital, HarbourVest Partners, Oak Investment Partners and Bessemer Venture Partners.
Deutsche Telekom controls 60.8% of T-Mobile Czech, which is the country’s biggest mobile phone company by number of users. The balance is owned by private equity firm Mid Europa Partners that has recently put the stake up for sale. According to the Wall Street Journal’s sources, Deutsche Telekom prefers another financial investor to buy Mid Europa Partners’ stake in its Czech unit but “is ready to buy the stake should an unwanted suitor emerge”.
Deutsche Telekom has been offering mobile communications services in the Czech Republic since 1996. T-Mobile CR competes on the Czech market with the local units of Spanish Telefonica and UK’s Vodafone. It reported a CZK 5.9bn revenue in the first three months of 2013, down 9.6% y/y. The number of T-Mobile mobile clients increased by 72,000 (4% y/y) to 5.6mn in Q1.
Related Articles
Renewables could power 80% of data centres, Goldman Sachs says
Renewables can supply the vast majority of power required for the growing demand of energy needed to operate data centres, research by Goldman Sachs published on January 23 revealed. Power demand ... more
Tajikistan jails editor-in-chief of independent publication for 10 years on “trumped-up” charges
The editor-in-chief of Paik, the only independent publication in Tajikistan’s southwestern Khatlon region, has been sentenced to 10 years in prison, Radio Ozodi ... more
Most Read
-
Armenia courts African countries to supply diamond industry
18 days ago
-
Russia’s Alrosa finds its largest diamond ever, as Mirny mining operations restart
2 days ago
-
COMMENT: Embracing “Greater Central Asia” has become a strategic imperative for US
13 days ago
-
From blood diamonds to critical minerals: Sierra Leone’s mining transformation
19 days ago