India's Reliance Industries is preparing to make a non-binding offer of USD 5.7 billion for T-Mobile Netherlands, two people aware of the development told the Hindustan Times. RIL is expected to make the offer within a month and has begun shortlisting lenders to fund the transaction, the Indian report said.
Several top foreign banks are forming a syndicate for financing the acquisition, according to the paper's sources. Akash Ambani, son of RIL's chairman and head of strategy at its telecoms arm Reliance Jio, is reportedly managing the transaction.
The takeover would be Reliance's first big expansion to Europe. The deal is expected to help diversify the conglomerate's business away from a heavy reliance on India.
T-Mobile Netherlands is the largest mobile operator in the country. It's 75 percent owned by Deutsche Telekom and 25 percent by Tele2. Earlier reports said Deutsche Telekom is seeking around EUR 5 billion for the company.
