August 28, 2014 / 5:51 PM / 4 years ago

Deutsche Telekom open to sale of T-Mobile at $35/share or higher -Bloomberg

Aug 28 (Reuters) - Deutsche Telekom AG is open to a sale of its T-Mobile US Inc unit, if an offer values the business at $35 a share or more, Bloomberg reported on Thursday, citing a person familiar with the matter.

Senior managers at Deutsche Telekom, which rejected an offer from Iliad SA for T-Mobile earlier this month, discussed the business’ valuation at a strategy meeting on Thursday in Berlin, Bloomberg said, citing a source.

Deutsche Telekom could not immediately be reached for comment. T-Mobile did not immediately respond to requests for comment. A spokeswoman for Iliad declined to comment on the report.

T-Mobile US shares were up 2.2 percent at $30.10 on Thursday afternoon on the New York Stock Exchange.

Deutsche Telekom derives about a third of its sales and a fifth of core profit from the United States, but believes T-Mobile US lacks critical mass, frequencies and capital to compete with leaders AT&T Inc and Verizon Communications Inc.

Reporting by Karen Rebelo in Bangalore, Marina Lopes in Washington and Leila Abboud in Paris; editing by Matthew Lewis

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