Sol Trujillo, the former head of Australian telecoms giant Telstra, is reported to be looking for private equity funds to back a $30bn buyout of all or part of Deutsche Telekom’s T-Mobile USA division, the country’s fourth-biggest wireless carrier.
The telecoms tycoon is understood to have achieved little success so far in pitching a deal to firms including Blackstone and KKR, which voiced scepticism over the company’s size and the financing costs involved in a potential deal, according to Bloomberg.
T-Mobile USA was recently forced to axe jobs and close call centres after a $39bn sale to AT&T failed last year due to competition concerns by regulators, the report said.
Deutsche Telekom is understood to be scaling back its presence in the US due to fierce competition from the likes of Verizon Wireless and AT&T, the report added.
Trujillo is also said to have approached private equity firms about a possible bid for Sprint Nextel Corp, the country’s third-largest operator, the report added.
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