UK's EE Could Get Stock Market Listing Later this Year
Published on: 6th Jun 2014
Note -- this news article is more than a year old.
The UK based mobile network, EE could see its shares listed on the London stock exchange later this year, according to one of its two parent owners.
The mobile network was formed from the merger of Orange and Deutsche Telekom's UK subsidiaries and they jointly own half each.
Some sort of stock market listing, or even a trade sale has been talked about ever since the company was formed, and it has long been known that EE's CEO, Olaf Swantee wants more autonomy from the parent owners.
Orange's Chief Financial Officer, Gervais Pellissier told Bloomberg News that a stock market listing is still the preferred option, although the owners haven't explicitly ruled out other choices if a suitable offer is made.
There were rumours that EE's former CEO, Tom Alexander had spoken to a number of private equity groups, including KKR, about a US$13-$16 billion buyout, but was unable to develop the talks.
Olaf Swantee, EE's chief, has been asked to "position EE either on dividend or return or growth," within the next six months, Pellissier told reporters in Paris. "We will decide when we return from vacation."
One of the key criteria could be the changing market in the UK towards quad-play services with rival networks expanding into landline and cable services. That may change the outlook for EE, and the chances for a swift listing on the stock market.
Plans for a previous stock market listing were put on hold earlier this year.
On the web: Bloomberg News