U.K. mobile operator EE plans to make some structural changes, including cutting 350 administrative jobs and adding other employees in sales and customer support. The company told Bloomberg that the structural changes are part of their strategy “to expand U.K.-based customer service teams.”
The move comes following reports last week that EE’s parent companies, German-based Deutsche Telekom and France-based Orange, were once again talking about selling the operator. Both the Telegraph and Bloomberg cited sources saying that DT and Orange had resumed talks of a potential initial public offering even though the companies had shelved the idea earlier this year.
EE could be valued as much as €15 billion ($19 billion). An IPO is the most likely option, but reportedly, an outright sale to another carrier or an investor is also on the table.
DT and Orange are equal partners in the EE venture that was formed when they merged their U.K. operations four years ago. While DT and Orange are some of the biggest carriers in Europe, they are both facing increased competition in their respective home markets of Germany and France.
More telecom news from Europe:
EU officially ends telecom trade dispute with China. The European Commission this week officially dropped the investigation into whether China was illegally subsidizing exports of telecom equipment by Chinese makers such as Huawei and ZTE. The announcement comes following earlier statements by EU trade commissioner Karel De Gucht that an agreement had been reached.
Telefónica Deutschland taps Ericsson for VoLTE. Germany’s largest mobile operator is one of the first in Europe to have a network ready for a commercial voice-over-LTE launch.
Following E-Plus takeover, Telefónica Deutschland cuts 1,600 jobs. The newly merged mobile operator plans to cut 18% of its workforce in a cost savings measure. The job cuts are expected to impact positions in sales, call centers and administration. Telefónica Deutschland paid about $11 billion to buy E-Plus, and the merged company is now the largest mobile operator in Germany in terms of subscribers.
América Móvil now owns nearly 60% of Telekom Austria. América Móvil announced this week that it had acquired another 8.68% of shares of the Austrian operator after its extended offer closed, raising its total stake to about 59.7%. The move increases the influence of América Móvil’s owner, billionaire Carlos Slim, has on Telekom Austria. Slim’s company first took a majority share in Telekom Austria in July.
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