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Germany is preparing the world's largest merger deal

Germany's Deutsche Telekom has asked the German government for approval to merge with its US subsidiary T-Mobile to create a new holding company.
Dmitry Kalak Dmitry Kalak Reading time: 1 minute
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Deutsche Telekom

Deutsche Telekom

If successful, the deal will be the largest merger and acquisition (M&A; Deal, Mergers and Acquisitions) in history, writes RBC with reference to Bloomberg. with reference to the data collected.

According to the agency’s estimates, in the case of a merger, the market capitalization of the holding will be about $380 billion. This deal would surpass the takeover of America Online by Time Warner for about $186 billion, as well as the Vodafone AirTouch deal with Mannesmann, during which Vodafone acquired the pipe manufacturing concern for $185 billion.

After the merger, the holding, as the agency writes, may conduct a public offering (IPO) in the U.S. and on the European stock exchange. After reports of a possible merger appeared, shares of both companies fell in trading – shares of Deutsche Telekom fell by 2%, and T-Mobile by 1.5%.


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