French telecommunications company Iliad said Monday that it is no longer trying to buy T-Mobile.
This is the second major missed opportunity for T-Mobile to sell itself. Sprint, with the backing of its majority owner Softbank, planned to buy T-Mobile this summer, but the deal fell through because Softbank was concerned the deal wouldn’t be approved by U.S. regulators.
T-Mobile’s stock was down about 3% following Iliad’s announcement.
Deutsche Telekom, the German telecommunications company, owns most of T-Mobile and has been looking for a buyer for a long time now. T-Mobile might be an attractive acquisition for some because it’s been adding subscribers at a faster pace than larger rivals like Verizon and AT&T. However, it’s not clear how sustainable that growth will be.
Deutsche Telekom and T-Mobile’s boards both rejected Iliad’s offer. Iliad offered to buy 67% of T-Mobile at $US36 per share, the company said in a statement. Iliad initially offered to buy 56.6% of T-Mobile. It seems like Deutsche Telekom and T-Mobile want to sell the whole thing.