Deutsche Telekom (DTE) is ready to open sale talks for its T-Mobile US (TMUS) business, at least if the price is right.
Deutsche Telekom managers are looking for offers between $35 and 40 a share, which they feel is a realistic price that could open discussions, according to a Bloomberg News report. The German telecom company owns a majority share of T-Mobile US.
Earlier this month, France’s Iliad offered $15 billion cash for a 56.6% share of T-Mobile US. That offer breaks down to about $33 a share. At the time T-Mobile’s chief financial offer called “inadequate” and rejected the offer.
The new statement from Deutsche Telekom could open the door for renewed bids from Iliad or other possible suitors such as Dish Network (DISH), which could benefit by combining its national pay-TV service with the carrier.
Sprint (S) had originally been in talks with Deutsche Telekom in an offer that valued T-Mobile at about $32 billion, more than Iliad’s original offer which followed. However, Softbank-owned Sprint withdrew from talks to buy the unit earlier this month after it concluded it was too much of a challenge to clear the necessary regulatory hurdles.
Until an attractive offer arises, Deutsche Telekom said it is focused on the upcoming U.S. spectrum auctions, where T-Mobile will compete with AT&T (T) and Verizon (VZ) for the limited wireless capacity.