Feeds

Orange has plums squeezed. Market yelps too

And France Telecom had gone to so much trouble

  • alert
  • submit to reddit

The essential guide to IT transformation

Well, after all the fuss, a huge cut in issue price and more general nonsense, the Orange float has been a flop. It's currently sitting at six per cent below the issue price of 10 euros. At times it was nearly eight per cent below.

Every financial journalist and analyst now suddenly knows that it was going to be a failure all along, because after all people are still worried about the cost of 3G and, er, it's a bad time for mobile companies. The fact is that France Telecom cut such a wedge off its own company's valuation that it comes as a surprise that the float isn't a success. We still reckon France Telecom should have held off, but then it probably needed the £6.5 billion the IPO raised.

Worse than this, Orange's poor performance has dragged down other tech stocks. France Telecom suffered of course - 6.6 per cent down and to a 16-month low. Nokia was down 2.5 per cent, Sonera 3.6 per cent, Vodafone 1.6 per cent, BT 3.7 per cent. Bookham chip-maker was down 10 per cent, Deutsche Telekom down 5.5 per cent, KPN 5.1 per cent, the list goes on and on.

The future may still be bright but the last two days and the next few weeks look dark for Orange. ®

Related Stories

Orange finally valued
Orange now worth even less
Orange gets cheaper by the day

Boost IT visibility and business value

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Broadband slow and expensive? Blame Telstra says CloudFlare
Won't peer, will gouge for Internet transit
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
prev story

Whitepapers

Best practices for enterprise data
Discussing how technology providers have innovated in order to solve new challenges, creating a new framework for enterprise data.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Advanced data protection for your virtualized environments
Find a natural fit for optimizing protection for the often resource-constrained data protection process found in virtual environments.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?