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View Full Version : BT to buy mobile firm EE for £12.5bn



xxMATTGxx
05-02-2015, 07:42 AM
Well it was reported not that long ago as a possible purchase for BT but now it looks like they are going through with it, as long as no one stops them.


Telecoms group BT has bought the mobile operator EE for £12.5bn.

The takeover creates a communications giant covering fixed-line phones, broadband, mobile and TV. Existing EE shareholders Orange and Deutsche Telekom will sell 100% of their shares.

Deutsche Telecom will hold 12% in the new combined business and have a seat on the board.

Orange will receive a 4% stake, as well as about £3.4bn in cash.

BT says it plans to raise £1bn through a placing of new shares to fund the deal.

It said in a statement: "The combination of EE and BT will provide customers with innovative, seamless services that combine the power of fibre broadband with wi-fi and advanced mobile capabilities.
Savings and revenues

EE leads the market in 4G, the fastest mobile bandwidth. It said on Thursday said its 4G customer base had risen to 7.7 million subscribers.

BT says that within four years, the deal will be saving it £360m a year in terms of operating costs and capital investment.

It added that by combining the two businesses, it should be able to generate an extra £1.6bn a year in sales.

The deal is expected to be finalised by March next year, subject to approval by shareholders of BT and scrutiny from telecoms regulator Ofcom.

Sources: http://www.bbc.co.uk/news/business-31144009


So soon we may hear that Three are actually buying O2? :P

Zak
05-02-2015, 08:47 AM
Hmmm I wonder what changes if any will take place now. My network provider is EE :)

Cerinacy
05-02-2015, 11:50 AM
Will be interesting to see what changes BT implement.

peteyt
06-02-2015, 05:49 PM
BT is expensive so wonder if they'll mess with ee's prices

GommeInc
06-02-2015, 07:00 PM
This ought to be interest. Personally I think Ofcom (or even the Government) should step in and say no, and force BT to fulfil their current obligations to roll out "superfast broadband" to rural areas which they continue to be failing at, despite being the only company granted the contracts to do so. If they've got money to blow on buying a telecoms provider then they have money to put to use for people still awaiting upgrades to their lines.

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