Deutsche Telekom studies a merger with T-Mobile to create a telecommunications giant
It would be the largest corporate transaction in history between publicly traded companies, according to 'Bloomberg'
BarcelonaDeutsche Telekom is considering a merger with its US subsidiary, T-Mobile US, according to reporting by Bloomberg late Tuesday nightBloomberg. The operation, according to this publication, would be the largest corporate transaction in history between listed companies and, as several media outlets point out, would result in the world's largest operator by market capitalization.
The project, which is in its preliminary phase, would involve the creation of a holding company that would launch a stock offer for both companies. This would allow the operations of the German company - which now controls 53% of T-Mobile US - to be grouped with those of its subsidiary in the United States, according to published information.
The operation would require political support from both Berlin and Washington, specialized media report, pointing out that the German state - through the public bank kfW - currently holds 28% of Deutsche Telekom, giving it veto power over strategic decisions. The news, in any case, comes amid the growth of the communications sector. One of the recent examples is the merger between Orange and MásMóvil, which resulted in the largest telephone operator in Spain.
