German telecom giant Deutsche Telekom gained full control of its Czech Republic wireless operations, announcing plans to pick up the remaining stake in T-Mobile Czech Republic.
The deal will see DT acquire the remaining 39.23% interest in T-Mobile Czech Republic it does not currently control for nearly $1.1 billion. DT noted that the minority interest is controlled by “owned by a consortium of investors led by funds managed or advised by private equity group Mid Europa Partners,” and that the deal will fully consolidate control and operation of the subsidiary.
“The acquisition of the remaining shares is a natural step towards optimizing our portfolio and supports our transformation into the leading integrated Pan-European operator,” explained Claudia Nemat, board member for Europe and technology at DT, in a statement. “The Czech Republic is an important market for Deutsche Telekom due to its size and structure. With the ongoing integration of T-SystemsCzech Republic and the planned combination with the Czech operations of GTS Group, T-Mobile Czech Republic is on a clear strategic path to enhance its fixed-line capabilities and foster its market position in [business-to-business].”
DT added that the deal was not subject to regulatory approvals. T-Mobile Czech Republic is currently the nation’s largest wireless operator with approximately 5.7 million wireless customers.
DT also owns a controlling stake in U.S.-based operator T-Mobile US, which picked up smaller rival MetroPCS last year in a move that diluted DT’s interest to around 75%. DT had previously attempted to sell off full control of T-Mobile US to AT&T for $39 billion in a deal that was eventually scuttled by government regulators.
Bored? Why not follow me on Twitter?
