Investing.com — T-Mobile’s US executives informed Deutsche Telekom that they no longer support a proposed $300 billion merger between the two companies, Semafor reported Friday, citing people familiar with the matter. <\/p>\n
The executives pointed to shareholder concerns and potential regulatory issues as reasons for their opposition, according to the report. <\/p>\n
Several of T-Mobile’s non-controlling shareholders, including large institutional investors, told the US company they would oppose a merger with Deutsche Telekom, the people told Semafor. <\/p>\n
T-Mobile executives also received information from government officials indicating that US regulators would likely require a guarantee that T-Mobile’s US revenue would be reinvested in the country or otherwise remain in the United States, Semafor reported. <\/p>\n
T-Mobile shares were trading roughly 0.9% lower following the report, Deutsche Telekom ADRs in the U.S. were recouping some earlier losses but still traded 0.9% lower for the day. <\/p>\n
Deutsche Telekom is the controlling shareholder of T-Mobile. <\/p>\n
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