Deutsche Telekom is considering selling a minority stake in its subsidiary T-Mobile Netherlands, Manager Magazin reports citing sources familiar with the matter. An IPO is also a possibility for the Dutch unit, the report said.
The reason for the sale is the financial situation at Telekom, where net debt has risen to nearly EUR 80 billion. T-Mobile Netherlands is considered the most promising asset for sale, after its EBITDA grew by 25 percent in the third quarter to EUR 132 million.
T-Mobile Netherlands acquired a 75 percent stake in Tele2 Netherlands at the start of this year and has merged the two operations. Despite the merger, T-Mobile remains largely a mobile player in the Netherlands, with a big gap on the fixed market with the converged groups KPN and VodafoneZiggo. T-Mobile Netherlands remains part of Deutsche Telekom's Group Corporate Development unit and has not been grouped with its other European activities.
Deutsche Telekom is considering the sale also of other subsidiaries for the next year, the report added. This could include its towers unit Deutsche Funkturm.
