“Deutsche Telekom and Orange are in exploratory talks with BT (ex-British Telecom), even if it is too early to say if they will eventually lead to a transaction” the two companies confirmed on Wednesday in a press release about Everything Everywhere (EE), the leading mobile operator in the UK.
27 million customers
EE was born in 2010 when Orange and T-Mobile decided to combine their British subsidiaries under a common entity in which they each hold 50% of the shares. It now claims 27 million customers in the UK and 4G coverage that would reach 98% of the population by the end of the year.
The hypothesis of an IPO of EE was initially raised by the media, but the possibility of a sale to British Telecom now seems to be in order, while the latter wants to strengthen on the mobile.
BT approached by two operators
“Deutsche Telekom AG and Orange SA, co-shareholders of EE Ltd regularly analyze developments in the market in which EE operates, evaluating the different strategic options likely to create value for EE shareholders and strengthen EE’s position on its market ”, we explain.
But nothing is complete yet. BT had confirmed Monday to have received “expressions of interest” from several shareholders of two British mobile operators, “one of which is O2, on a possible transaction in which BT would acquire their mobile business in the United Kingdom.” O2, owned by the Spanish Telefónica, is one of the main players in the market. The other mobile operator was not specified.