Sprint Acquisition Rumor Returns
U.K. newspaper The Sunday Telegraph reported over the weekend that Deutsche Telekom (DT) has asked its bankers to advise on a potential bid.
While DT isn't commenting, the speculation has put pressure on its stock. The carrier's share price is down €0.17, or 1.74 percent, to €9.37 in morning trading on the Frankfurt exchange. Sprint's share price ended Friday at $3.77, giving it a market capitalization of $10.84 billion.
This isn't the first time such a deal has been mooted: Rumors of DT's interest in Sprint were rife in May 2008. (See DT & Sprint: A Bargain in the Balance? and DT Sprint Bid 'Unlikely' .)
DT is, of course, in the mood for M&A action, having just struck a deal to create a joint venture in the U.K. (See T-Mobile, Orange Join Forces in UK.)
— Ray Le Maistre, International News Editor, Light Reading