Feeds

Swisscom sells debitel

Permira Funds puts €640m on table

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Swisscom is selling its stake in network-independent mobile company debitel to UK private equity company Permira for €640m in equity value.

debitel provides mobile, fixed network and Internet services to over 10m customers and employs some 3,100 staff in Europe. The company has retail activities in Germany, France, Denmark, Slovenia and The Netherlands. In Germany, where the it is a reseller for T-Mobile, E-Plus and Vodafone, debitel has nearly 10m subscribers.

Swisscom acquired a 74.2 per cent interest in debitel in summer 1999 from DaimlerChrysler on strategic grounds. However, the expected synergies failed to materialise due to differences in the business models of Swisscom and debitel and the performance of European mobile communications markets following the auction of UMTS licences. As a result, Swisscom managed debitel as a purely financial investment.

Permira Funds, the company that recently offered £940m for UK book seller WH Smith Group PLC, will continue to develop debitel's business in line with its current 'Enhanced Service Provider' strategy. It is unclear, however, if debitel wants to enter the UK market now that is getting a UK investor.

The takeover is still subject to approval from antitrust authorities. The transaction is expected to be completed by the end of June 2004. ®

Related stories

Swisscom to connect UK Premier Lodge hotels
Swisscom, TeliaSonera ink roaming deal
Swisscom buys Megabeam and WLAN AG

Beginner's guide to SSL certificates

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Special pleading against mass surveillance won't help anyone
Protecting journalists alone won't protect their sources
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Apple's iPhone 6 first-day sales are MEANINGLESS, mutters analyst
Big weekend queues only represent fruity firm's supply
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Bill Gates, drugs and the internet: Top 10 Larry Ellison quotes
'I certainly never expected to become rich ... this is surreal'
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
EMC, HP blockbuster 'merger' shocker comes a cropper
Stand down, FTC... you can put your feet up for a bit
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
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?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.