FRANKFURT, Oct 23 (Reuters) - Deutsche Telekom has started looking for an alternative buyer for T-Mobile US after France’s Iliad abandoned its efforts to buy the business earlier this month, a German magazine reported on Thursday.
Monthly Manager Magazin cited people familiar with the company as saying Deutsche Telekom was looking at possible buyers who were not direct competitors to T-Mobile US, citing Mexico’s America Movil as a possibility.
Deutsche Telekom, which owns close to 67 percent of T-Mobile US, declined to comment on the report but said it was not under pressure to make a deal. America Movil was not immediately available for comment.
Deutsche Telekom had hoped to reduce its exposure to T-Mobile US, the fourth-largest U.S. carrier, before next year’s scheduled auction of radio waves.
Iliad abandoned its attempt to buy the company because of resistance from Deutsche Telekom, becoming the third bidder to walk away from the carrier in three years.
Analysts estimate T-Mobile US would have to spend billions of dollars in the auction to get the lower-range frequencies it needs to give its mobile network further reach and better compete with rivals Verizon, AT&T and Sprint. (Reporting by Maria Sheahan and Frank Siebelt; Additional reporting by Simon Gardner; Editing by David Holmes)