Reliance Industries Ltd. Billionaire Mukesh Ambani is considering an offer for the Dutch subsidiary of Deutsche Telecom AG. In return, Deutsche telecom is aiming for around 5 billion euros (5.9 billion US dollars) for every sale, it said.
Deliberations are ongoing, no final decision has been made and there is no assurance that Reliance will opt for a formal offer, according to the population. Telecom declined to comment.
A Reliance representative was unable to comment immediately. Deutsche telecom partners with Morgan Stanley to sell the business, which has attracted interest from private equity firms such as Apax Partners, Apollo Global Management Inc., BC Partners, Providence Equity Partners and Warburg Pincus, Bloomberg News reported last year Month.
Reliance is India's largest company by market value with businesses spanning oil refining, petrochemicals, retail and telecommunications. A deal for TMobile Netherlands would be a rare buy in Europe and would come as Ambani tries to convert Reliance from an old economic conglomerate into a technology. and titan of electronic commerce.
Deutsche telecom entered the Dutch mobile communications market in 2000 and took a stake in a company with Belgacom SA and Tele Danmark. The company was renamed TMobile Netherlands in 2003 after the German operator bought the rest. The sale of the unit in 2015 was contemplated to raise funds for the purchase of cellular spectrum in the US before a decision was made to keep the business.
In 2019 TMobile Netherlands merged with Tele2 AB's activities in the country to create one of the largest local operators. Tele2 CEO Kjell Johnsen confirmed at an investor's day in May that the company plans to sell its 25% stake in TMobile Holland and focus on its core markets in the Nordic and Baltic countries.