Deutsche Telekom weighs full merger with T-Mobile US

Deutsche Telekom is studying a full merger with its subsidiary T-Mobile US, according to a Bloomberg report cited by Mobile World Live. Deutsche Telekom owns about 53% of T-Mobile US, and the talks are at a preliminary stage.

Bloomberg reported that Deutsche Telekom is considering creating a new holding company that would launch a public takeover offer for the shares of both companies. The new entity would be jointly owned by the current shareholders of Deutsche Telekom and T-Mobile US, and the combined group could seek listings on major stock exchanges in the United States and Europe if the transaction proceeds.

Deutsche Telekom became the majority shareholder of T-Mobile US in 2024 and has increased its stake since then. Any transaction would need political support in Germany and the United States, and Bloomberg said regulatory approval could require commitments to keep a significant operating base in Germany and investment promises in the United States. The German government and state-owned bank KfW together hold about 28% of Deutsche Telekom. The report follows the appointment of Srini Gopalan, former CEO of Deutsche Telekom Germany, as CEO of T-Mobile in November.