FRANKFURT, Germany-German telecommunications provider Deutsche Telekom AG reported plans to sell up to 120 million shares in its T-Online Internet subsidiary in a move designed to raise capital and reduce its more than $60 billion debt load to around $50 billion by the end of the year.
The sale is expected to raise approximately $730 million based on T-Online’s approximate $6.09 trading price and reduce DT’s stake in T-Online from 81.7 percent to 73.5 percent.
Many analysts believe DT may pull off a similar move with its T-Mobile wireless division after the company announced last month it would look for alternate financing options instead of selling off its United States-based T-Mobile USA Inc. holdings.
