EE IPO to be reconsidered later this year

6 Jun 2014

EE’s joint owners Orange Group and Deutsche Telekom (DT) will reportedly consider reviving plans for a possible initial public offering (IPO) after the summer, according to Bloomberg, which cites the French partner’s finance chief Gervais Pellissier. It is understood that, while an IPO is still the preferred option for EE, other scenarios could be examined, depending on the strategies followed by the cellco’s UK rivals. As such, it has been suggested that should UK mobile network operators begin offering bundles of internet, voice and TV, EE could look to do likewise, which could then change the company’s outlook for a listing.

As previously reported by CommsUpdate, in January 2014 DT and Orange Group put plans to float their UK joint venture on hold, after concluding that its value would rise in the future as more people adopt higher-margin 4G mobile data packages. ‘The shareholders have both agreed that the best option for value creation is to maintain the current ownership structure [of EE] for the time being, and they look forward to continuing their co-operation in the UK market,’ the two companies said in a statement at the time.

United Kingdom, Deutsche Telekom (DT), EE, Orange Group