Deutsche Telekom has begun the process to sell T-Mobile Netherlands, Bloomberg reports citing sources familiar with the matter. The sale proceeds may bring in EUR 4.5 billion. Telekom is launching the sale process advised by Morgan Stanley. It is looking to receive the first round of offers from potential buyers this month. Private equity firms Apax Partners, Apollo Global Management, BC Partners, Providence Equity Partners and Warburg Pincus are among the potential buyers of the Telekom’ subsidiary, the report added. The sale process is at an early stage and it is not yet clear whether potential bidders will finalize their offering, it added.
Telekom is speeding up the sale of T-Mobile Netherlands in order to reduce its debt, currently approximately EUR 130 billion, and free up capital for the roll-out of the fibre network in Germany. Telekom previously estimated the market value of T-Mobile NL at around EUR 5.7 billion, and EUR 5.0 billion excluding the masts sold to Cellnex. T-Mobile expects its valuation to increase in the coming years on the basis of the current strategy, which includes a mix of acquisitions, expansion in fibre and the 5G rollout.
