Iliad in talks with Dish, Charter Communications and others to raise bid for T-Mobile?

The sign in the lobby of the corporate headquarters of Dish Network is seen in the Denver suburb of Englewood

Earlier today we read a report stating that T-Mobile will officially reject the well-documented approach from Iliad. The French communications company seems persistent, however, as another new report claims that Iliad is look at other means of raising investment so that it can improve its offer.

Reuters reports:

French telecom firm Iliad (ILD.PA) is in talks with investors to improve its bid for T-Mobile US because it expects the parent company Deutsche Telekom (DTEGn.DE) to reject its $15 billion (£8.90 billion) offer, three sources familiar with the matter said on Tuesday.

Iliad is allegedly in talks with Dish Networks, Cox Communications and Charter Communications as well as a number of infrastructure and pension funds such as Ontario Teachers Pension Plan and Singapore’s GIC. This is all according to Reuters’ unnamed sources.

Bringing in more investors and revenue sources would certainly make an attempted takeover far more complicated. But Iliad seems very keen to get hold of some Magenta. But we still feel that it’s unlikely given the offer that’s currently on the table from SoftBank/Sprint. From T-Mo’s point of view, the higher offer and the chance to quickly become #3 carrier and compete on a more level playing field with Verizon and AT&T holds a lot more promise.

Read Reuters’ full report here.

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  • sushimane

    Crazy!!!!!. That’s too much companies trying to buy T-Mobile I would rather illad buy T-Mobile but trying to get others to help him get T-Mobile crazy but good luck

  • Justin Merithew

    I hope they can pull this off. They seem like the most likely contender to continue Tmo’s positive momentum. At this point I don’t think Sprint would be a good thing. DT will keep pushing for a sale though, and I don’t think my top choice (Google) would buy.

  • Ben

    This is good news, depending on how one looks at it. For me it is great news, especially since the WSJ just reported Sprint’s plan to abandon pursuit of T-Mobile (Breaking News). Hopefully Magenta is able to keep gaining momentum and remain independent of all of these “suitors.”

  • http://rosarynovice.stblogs.com/ Augustine

    DELETED

  • http://rosarynovice.stblogs.com/ Augustine

    We need Iliad badly to shake up the mobile industry in this country! Here’s what its customers get in France for mere €20 or $27:

    - Unlimited calls to 100 countries
    - Unlimited SMS/MMS in France
    - Unlimited SMS to 100 countries
    - 20GB 4G (throttled afterwards)

    (Source: mobile{dot}free{dot}fr )

    • Adrayven

      wow.. wet dream… lol!

      Verizon would go into a foaming seizure!

    • Aaron Tant

      sounds good, but when you consider the ability to scale this, the costs would sky rocket: france’s sq miles: 210,668. US sq miles: 3,710,000 sq miles. population of france: 60,876,136. US population: 318,000,000. France Density: 289/sq mi. US Density: 88.6/sq mi. — all that to say, it is easier to cover France and provide 20 GB 4G data and the other perks (which T-Mobile already does for SMS… somebody remind me of the unlimited int’l calling feature). But when the US customer service base is larger and more spread out, it requires more infrastructure… so cost must be higher. Sadly.

      • http://rosarynovice.stblogs.com/ Augustine

        That’s not how it works. Providing service to a higher populational density has as high a cost as for a large area. For in both cases the same number of towers are needed, since each one can serve only so many customers, regardless of signal range.

        The fact remains that consumers are being looted and they don’t want to know about it. The worst blind is the one who doesn’t want to see.

        • Fratelli

          You are on crack! Do you know how many more towers you need to cover the rural areas vs. covering a high population density area?

          For any densely populated area, at least you are likely to be able to lease space on someone else’s towers (much of them are control be ATC, Crown, etc…) than in the middle of nowhere.

          In case there is no more room, the build up cost for new towers are not cheap.

          Any business person would know that it would cost you less to maintain the same amount of towers closely situated to one another vs. spread across the US.

      • S. Ali

        You can’t compare geographic regions like that. You have to look at were people actually live not total land area. Most Americans live within highly dense urban environments (like 2/3 of people). Nobody lives in State Forests, National Parks, Reserves, or most of Alaska. About 30% of the U.S is preserved land.

        • Vomitous Mass

          …and this is why the “no rural coverage” complaint exists.

  • n8erman

    Why is TMO always up for sale? Are they really even looking for a suitor? Doesn’t Deutsche Tel know what they’ve got? I’m not losing any sleep over the Sprint deal. All that company could possible do is ruin TMO. Good riddance.

    • Ben

      Worry not. Sprint is throwing in the towel, packing up and going home.

    • monkeybutts

      Because the Germans want money to invest in Europe where they are more profitable.

      • xmiro

        they aren’t more profitable in Europe, their network isn’t up to par and needs a cash infusion for upgrades

    • Vomitous Mass

      Because DT wants out of the US market – badly – and they really do not care if whatever is created due to the sale succeeds, fails, or other.

  • Aurizen

    I would rather T-Mobile buy a company and not the other way around.

  • monkeybutts

    I hope Illiad is majority owner if something comes of this. Dish is nice for spectrum purposes but they are a terrible business otherwise.

    • TechHog

      That xenophobic T-Dish guy here is gonna tear you apart for this comment.

      • KlausWillSeeYouNow

        Glad you remembered me so fondly.

    • Adrayven

      and yet, I agree. Dish support is horrible, their contract based (12 month discount for 24 mo contract) horrible.. I wouldn’t be surprised if Dish pushed for t-mo to go back to contracts. pfffff

      Charter isn’t much better.. but I can deal with them.. kind of.. prefer that the TV Satellite and Cable Mafia stay out of T-Mobile.

  • Whiskers

    F-Dish !
    They would screw up a two car funeral just as bad as Sprint.
    If they get a hold of T-Mobile you can kiss no contracts goodbye , pronto .

    • Adrayven

      Agreed!

  • Adrayven

    All this buyout talk should go away once DT gets out of the market. Problem with DT is they don’t seem to care WHO.. and that puts all of us in the hook .. which sucks.

    • UMA_Fan

      The buyout talk is generated by everyone but DT. If they were in a rush to unload tmobile they would have done it by now easily.

  • wsj

    Not sure why lliad would want to take on the debt of buying TMUSA, when they are required to build out 12.5k Antennas in France. Their network mainly roaming on Orange and hot spots on their cable set top boxes.

    • xmiro

      growth, they need it. Bad.

  • Jason Crumbley

    KEEP THE CABLE COMPANIES OUT!

  • JBLmobileG1

    Cox cable!? No!!! They will ruin it all! DO NOT DE AL WITH THEM!

  • Nicopoli

    What if these company’s are successful in buying Tmobile? Hopefully what they would do is purchase all the 700 mhz a b and c spectrum leftover and screw with ATT by mirroring their network and playing keep away. Also they could use Dish’s 700 mhz e block as TD-LTE, giving Tmobile a back up low spectrum network while they wait for the 600 mhz spectrum. They keep the Uncarrier Moves they expand their Network and they start bringing down the Death Star and Big Red. “Conan Kudo” how plausible is making a 700 mhz abc network wherever they can, as well as a TD-LTE one with the E block???

  • MorningWood

    I’m still thinking Carlos Slim from tracfone will put in a bid.

  • Randall Lind

    Why does T-Mo need to be sold?

    • xmiro

      Because it’s owner Deutsche Telekom wants money to improve their European networks.

      They bled T-Mobile for years taking it’s profit to run their overseas operations without investing back in the network

  • gadget_hero

    I think a tie up with US Cellular with DT further reducing its share of T-Mobile is a excellent choice. It gives $TMUS 4million+ new customers, more 700MHz A block & PCS spectrum. Not to mention with the speed MetroPCS is being integrated it seems Neville’s boys would have little trouble consolidating another CDMA carrier into the fold.

  • Aurizen

    This is interesting! this might make T-Mobile get a chance to revolutionize cable!! but whats the point of all these other people putting money in? will all those companies own T-Mobile?

  • xmiro

    Dish 40Mhz AWS-4, and PCS would be nice, but Sprint’s 800Mhz would’ve been nicer

    • Roger Sales

      by that logic we should just grab US Cellular+C Spire to basically obtain nationwide 700A.

      • xmiro

        Or a sale leaseback of the spectrum. They get cash and get access to roaming nationwide

  • vinnyjr

    All these so called investors are seeing a growing company that has a huge potential. We refuse to sell T-Mobile, they can all go take a flying sh– and a rolling donut. I am thrilled Sprint’s terrible network won’t have any part of T-Mobile, that would have destroyed everything T-Mobile has accomplished. I wish DT would give T-Mobile US a serious hand instead of trying to just dump them off. John Legere and his team have done so much so fast with a company that was on a fast track to no where, now they are the talk of the Mobile Industry. I have never been more happier with T-Mobile than I am right now. I have been a long time T-Mobile customer who has no thought of changing. Thank You T-Mobile.

  • chris

    I wouldn’t be surprise if Dish or Carlos Slim from tracfone would now put in a bid for T mobile !!!

  • Kevin

    Lord i would not want Cox to merge with T-Mo….Cox is terrible