Uber has been ordered to pay a 300,000 euro ($336,600) penalty, adding to the challenge of a court-ordered partial shutdown imposed on its...

Stock Market

Uber Must Pay $336,600 Penalty on Top of Brussels Near-Shutdown

The Department of Energy (DOE) said, that the United States has launched an auction for 32 million barrels of crude from four strategic...

Commodities

U.S. to Sell 32 million Barrels of Crude Oil from 4 SPR Sites

The energy ministry said the United Arab Emirates will show complete commitment and cooperation with the OPEC+ agreement.

Commodities

UAE Will Offer Complete Support to OPEC+ Decisions

Asian shares fell lower as the dollar went up on Thursday. Investors are looking towards hike rate policies...

Stock Market

Asian Shares Decline as Dollar Goes Higher

The Turkish Lira began on its recovery after reaching record lows caused by the President’s interest rate cuts.

Stock Market

Turkish Lira Finally Rebounds After Months of Lows

Stock Markets

7 Sept 2021

Deutsche Plans to Raise its Stake in T-Mobile US

Deutsche Plans to Raise its Stake in T-Mobile US

The Index Today

Deutsche Telekom has finalized a deal with Softbank Group (OTC: SFTBY) to boost its stake in U.S operated T-Mobile as a part of its larger transatlantic focus plans.
The swap deal with enable the company to move closer to its goal of gaining control over the $170 billion telecoms operator by increasing its stake to 48.4%. Softbank is expected to receive a 4.5% stake in Deutsche Telekom along with cash which will help build a direct shareholding relationship.
This transaction will seal the deal and help Deutsche Telecom acquire majority ownership over the US based firm. The share swap deal will benefit shareholders and improve potential for value creation.
Marcel Claure from Softbank stated, “This is a landmark transaction that is a true win-win-win for our portfolio companies, Softbank and Deutsche Telekom.” Softbank shares went up by 10% whereas Deutsche’s saw a rise of 2.4% during pre-market trading.
Deutsche Telekom has sold its Dutch unit to Apax and Warburg for 5.1 billion euros. This unit was acquired from Sweden’s Tele2 in year of 2018. Deutsche Telekom is planning to invest around 3.8 billion euros raised from the Dutch deal to increase its stake in T-Mobile US.
The company already has a huge debt of almost 130 billion euros which clearly pointed out to the fact that it could not pay cash for T-Mobile shares previously. In the new deal, Softbank will be selling 45 million shares of its own in T-Mobile to Deutsche for around $118 per share. Alongside this, Deutsche will further buy 20 million shares in T-Mobile US using the cash generated from the previous Dutch sale.

©Photo: telekom-hauptstadtrepraesentanz