Two Bidders Vying to Buy T-Mobile Netherlands
Published on: 15th Feb 2016
Note -- this news article is more than a year old.
Two USA based private equity groups are reported to be bidding to buy Netherlands based T Mobile from its parent company, Deutsche Telekom.
Deutsche Telekom put T-Mobile Netherlands up for sale for around US$3.4 billion, and Reuters reports that U.S. private equity firms Warburg Pincus and Apollo are the two lead bidders.
The decision to sell is not solid though, and if the private equity bids are too weak, then Deutsche Telekom may decide to hold onto the company instead. The main issue is that Deutsche Telekom wants to sell due to increasing competition in the local market, which in turn may dissuade new owners from paying what they feel could be an inflated price for a diminishing asset.
Liberty Global was expected to bid, but has instead started talks about a tie-up with Vodafone in the country instead.