Deutsche Telekom to Acquire Tele2 AB's Dutch Business
15 Dezembro 2017 - 5:29AM
Dow Jones News
By Marc Bisbal Arias
Deutsche Telekom AG (DTE.XE) said Friday that it has reached an
agreement with Tele2 AB (TEL2-B.SK) under which T-Mobile
Netherlands will acquire Tele2's Dutch business for 190 million
euros ($223.8 million) in cash and a stake of 25% in the combined
company.
The purchase of Tele2 NL is subject to regulatory approval and
is expected to close in the second half of 2018.
The enlarged company will continue to operate as T-Mobile
Netherlands, Deutsche Telekom said, and will also use the Tele2
brand in the market. Deutsche Telekom will own 75% of the shares in
the enlarged company and a EUR1.1 billion loan receivable owed from
Tele 2 NL's clients.
Deutsche Telekom said the new company will create more effective
competition with the KPN Mobile and VodafoneZiggo duopoly in the
Netherlands. "This combination means justice for customers,"
T-Mobile's Chief Executive Soren Abildgaard said.
The transaction is expected to generate annual synergies of
about EUR150 million a year within three years of closing, Deutsche
Telekom said.
"This is a fantastic opportunity to speed up development of the
Dutch telco market," Tele2 AB's Chief Executive Allison Kirkby
said.
Prior to completion of the transaction, T-Mobile NL will spin
out its mobile tower and rooftop assets into a separate legal
entity which will remain in the full ownership of Deutsche
Telekom.
Write to Marc Bisbal Arias at marc.bisbalarias@dowjones.com
(END) Dow Jones Newswires
December 15, 2017 02:14 ET (07:14 GMT)
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