Deutsche Telekom Keeps Its Merger Powder Dry While Wiring Europe's Digital Currency - ad-hoc-news.de
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Deutsche Telekom has quietly stepped back from tabling a formal offer for the shares in T-Mobile US it does not already own, according to a Reuters report published Thursday. The news agency cited opposition from the group's works council as one factor behind the decision, and both companies declined to comment. Bloomberg had reported the same pause a day earlier. The retreat is temporary rather than final. Reuters noted that Deutsche Telekom could make another attempt at a later date, and the works council's resistance was described as one reason among several - not the sole cause. Investors should read the reports as a shelving of the transaction for now, not as a verdict on whether a full takeover will eventually happen. The accounts remain press reports, not a confirmed board decision. Thursday's positive share-price reaction was attributed in market coverage partly to relief that the deal has been pushed back. Stronger-than-expected net customer additions at T-Mobile US lent support as well, which means the advance cannot be pinned on the transaction reports alone. The US subsidiary's quarterly figures give the business case a footing independent of any merger. T-Mobile US booked service revenues of USD 19.4bn and net income of USD 3.5bn, alongside 274,000 additional postpaid customer accounts. Those numbers describe operating momentum at the unit; the media reports...
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