The Scoop <\/p>\n
T-Mobile’s US executives have told its controlling shareholder, Deutsche Telekom, that they no longer support a proposed $300 billion merger between the two companies, citing both shareholder and potential regulatory concerns, according to people familiar with the matter. <\/p>\n
Some of T-Mobile’s non-controlling shareholders \u2014 generally large institutional investors \u2014 have told the US company that they would oppose a merger with Deutsche Telekom, the people said, a slower-growing business compared to its American counterpart. <\/p>\n
Deal talks between T-Mobile and Telekom kicked off earlier this year and the two companies planned to put a deal to a vote in order to secure the approval from T-Mobile’s non-controlling shareholders, one of these people said. But now, T-Mobile executives aren’t confident the deal would be approved by those shareholders, that person said. <\/p>\n
Know More <\/p>\n
Separately, T-Mobile executives have also been told by government officials that regulators \u2014 including the powerful Committee on Foreign Investment in the United States \u2014 would likely seek a guarantee that T-Mobile’s US revenue would be reinvested in or otherwise remain in the country, the people said. The company generated adjusted free cash flow of roughly $18 billion last year, and paid more than $2 billion in dividends to Deutsche Telekom alone. <\/p>\n
A T-Mobile spokesperson declined to comment. Spokespeople for Telekom and the Treasury Department, which oversees CFIUS, did not respond to requests for comment. <\/p>\n","protected":false},"excerpt":{"rendered":"The Scoop T-Mobile’s US executives have told its controlling shareholder, Deutsche Telekom, that they no longer support a…\n","protected":false},"author":2,"featured_media":68097,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20989],"tags":[50903,11785,21550],"class_list":["post-68096","post","type-post","status-publish","format-standard","has-post-thumbnail","category-deutsche-telekom","tag-controlling-shareholder","tag-deutsche-telekom","tag-t-mobile"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts\/68096","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/comments?post=68096"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts\/68096\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/media\/68097"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/media?parent=68096"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/categories?post=68096"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/tags?post=68096"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}