BT Group plc has agreed a deal with Deutsche Telekom and Orange to acquire mobile network EE for £12.5 billion. The deal, which is expected to be completed by March 2016, is subject to shareholder and regulatory approvals, including approval from the Competition and Markets Authority.
The takeover will create a communications giant by adding mobile services to BT’s existing offering of fixed-line phone, broadband and television.
BT Chief Executive Gavin Patterson commented, “The deal provides an attractive opportunity for BT to generate considerable value for shareholders, with significant operating and capital investment efficiencies supported by our tried and tested cost transformation activities. The enlarged BT will offer significant opportunities for employees as we lead the creation of a world-class digital infrastructure for Britain.”
The deal more than trebles BT’s retail customers adding the 10 million it already had to EE’s 24.5 million direct mobile subscribers.