EE puts floatation plan on hold as company waits for 4G to take off
EE’s owners, Orange and Deutsche Telekom, have put plans to float the company on hold, with no timelines planned for when the company will make makes its IPO.
A Deutsche Telekom representative told Bloomberg that there “will no longer pursue an opening of EE’s capital or an IPO”.
Mobile World Live has suggested that the two companies believe that EE will receive a higher value if they wait until 4G services take off.
This comes after EE announced plans in December to roll out its 4G coverage from its current 29 cities to 160 cities.
At the time, Olaf Swantee, chief executive officer of EE, said: “From online banking and mobile shopping, to streaming music and using maps, 4G is enabling us to do more of our favourite things quickly and easily on the go.”
It has been predicted by analysts that an enterprise value for EE could exceed £10bn.