Deutsche Telekom looks at carving out German towers unit

By:
Alan Burkitt-Gray
Published on:

CEO Tim Höttges says Deutsche Telekom could realise value by carving out German towers

Deutsche Telekom’s CEO has told an investment conference that the company is looking again at finding ways to get more value out of its German towers.

Tim Höttges, speaking at a Morgan Stanley investment conference, also said that it would be open to merging its Netherlands mobile business with Tele2’s Dutch operations.

Tele2 CEO refused to comment on the issue to the Reuters news agency after Höttges’s speech. “We don’t comment on M&A speculations,” she told Reuters.

Höttges told the conference that towers were “an unregulated business” and asked: “Can we do something to make it grow?”

The company dropped plans last year to raise up to €5 billion on its German towers, but it could borrow money on the tower business.

Both towers and the Dutch mobile business have been in a separate division since February 2017, run by Thorsten Langheim, who became executive VP for group corporate development in mid-2016, with responsibility for M&A and corporate strategy.