By Simon Zekaria
BARCELONA-- Orange SA Thursday said EE, its U.K. mobile joint
venture with Deutsche Telekom AG, isn't sustainable in its current
form in the long term, casting fresh doubts over the future of
Britain's biggest wireless operator.
The former French telecommunications monopoly and Germany's
biggest telecom operator each hold an equal 50% stake in the
business.
"The 50-50 situation isn't a long-term scheme," said Orange
Chief Executive Stéphane Richard, speaking at the Morgan Stanley
telecom, media and technology conference in Barcelona.
The mobile operator's parent companies were considering a
listing of EE last year, valued at over GBP10 billion ($16.3
billion) by analysts, and launched internal discussions but came to
the decision that the timing wasn't right.
"In the mid-term future, we will have to think with the Germans
about the evolution of EE," he added, adding that "all options are
open" including a public listing or a separate merger and
acquisition deal.
The CEO warned a decision isn't imminent. "Don't expect anything
spectacular in the short term."
Write to Simon Zekaria at simon.zekaria@wsj.com
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