Business Transformation

Eurobites: Deutsche Telekom Offloads Outliers

Also in today's EMEA regional roundup: more Israeli mobile misery; bids in for Telekom Srbija; telecom waste in London.

  • Deutsche Telekom AG (NYSE: DT) is underlining its intent to focus on becoming top dog in European telecom by selling two non-core units, the t-online.de online platform and InteractiveMedia CCSP, a digital marketing company. The buyer is Ströer, an online advertising firm which recorded a net revenue of €721 million (US$801.2 million) in the 2014 financial year. For its part of the deal, Deutsche Telekom will receive Ströer shares worth €300 million.

  • It's not been a good week for Israeli mobile operators: Yesterday Partner Communications posted an 80% slump in second-quarter profits and today Reuters reports that it's the turn of Cellcom Israel Ltd. , Israel's largest mobile operator, which reveals an 85% drop in second-quarter net profits, to 12 million shekels ($3.2 million). Fierce competition is once again being cited as the cause, with six new operators entering the Israeli mobile market in 2012.

  • The Serbian government says it has received eight non-binding bids for a 58% stake in Telekom Srbija a.d. , reports Reuters, adding that it expects the sale to generate more than the €1.1 billion ($1.2 billion) that was offered and rejected for a 51% stake four years ago.

  • Transport for London, the organization that runs public transport in the English capital, has been criticized by an independent advisory body for wasting more than ₤300 million ($469 million) a year on telecom systems that are not fit for purpose, reports Computer Weekly.

  • Second-quarter net profits at Egypt's Orascom Telecom inched up to 353.95 million Egyptian pounds ($45.2 million) from EGP351.68 million ($44.9 million) a year earlier, reports Reuters.

    — Paul Rainford, Assistant Editor, Europe, Light Reading

  • Kruz 8/20/2015 | 11:49:32 AM
    Re: Outliers! It obviously selected the right markets to work in and at the right moment :)
    nasimson 8/15/2015 | 9:55:39 PM
    Re: Outliers! @James: What happened over these 15 years? The valuation decreased by a 100 times.
    James_B_Crawshaw 8/14/2015 | 3:19:55 PM
    Outliers! I'm showing my age here but T-online was once a public company valued at EUR35 billion. 15 years later it is worth EUR300 million. 
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