8:20 AM Talk that Deutsche Telekom could bid for Sprint has resurfaced

September 14, 2009

1 Min Read
Sprint Acquisition Rumor Returns

8:20 AM -- Speculation that Deutsche Telekom AG (NYSE: DT) is considering a takeover bid for Sprint Corp. (NYSE: S) has resurfaced, and put pressure on the German carrier's share price.

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

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