Orange and Deutsche Telekom will resume talks regarding a possible IPO of their British mobile JV EE once the German incumbent’s future in the US is resolved. Speaking to TelecomFinance earlier this month, Gervais Pellissier – Orange’s…
Orange and Deutsche Telekom will resume talks regarding a possible IPO of their British mobile JV EE once the German incumbent’s future in the US is resolved.
Speaking to TelecomFinance earlier this month, Gervais Pellissier – Orange’s recently-appointed head of European operations – said the company has an agreement with Deutsche Telekom to sit down after the question of T-Mobile US’ future is settled.
Earlier this week French maverick Iliad dropped its bid to buy T-Mobile US after failing to match Deutsche Telekom’s valuation. DTH operator Dish Network has also expressed an interest in the American operator.
In an interview conducted in Brussels, Pellissier said another factor regarding the potential EE listing would be whether fixed-mobile convergence in the UK takes off in 2015.
If the parent companies think fixed-mobile convergence will start properly next year then EE may first work on partnership co-operations or even consolidation rather than trying to prepare an IPO.
Pellissier said: “This is a real strategic question because neither Deutsche Telekom nor Orange is in a hurry to divest and get cash from EE. In the end we will be happy to monetise some of our shares in EE, but in the meantime we prefer to keep the value of the asset and strengthen its value than to IPO and then see another big, big convergent operator created.”
Pellissier went on to talk about how the demise of distributor Phones 4u could help facilitate operators in selling bundled services, and added that he was watching with interest as to what BT’s quadruple-play offering, expected to be revealed at the start of next year, would look like.
The full interview, which also covers Orange’s activity in France and Spain, will be available in the latest issue of TelecomFinance, out on Friday.
