1st Nov 2021 12:10
(Alliance News) - BT Group PLC on Monday confirmed it has hit its savings target a year and a half early.
Shares in the FTSE 100-listed telecommunications firm were 4.1% higher in London around midday at 144.55 pence each.
BT said it has delivered on its GBP1 billion of gross annualised cost savings 18 months ahead of the March 2023 target.
The company confirmed the savings performance following a media report by CityAM over the weekend. The newspaper noted the cost-cutting campaign comes in light of talks about a potential takeover by French telecoms tycoon Patrick Drahi.
https://www.cityam.com/bt-expected-to-bring-forward-its-cost-cutting-campaign-in-light-of-potential-takeover/
Last Tuesday, BT's shares jumped after Sky News reported that it has hired advisory firm Robey Warshaw to help bolster its defences against the possible takeover bid.
Sky reported that Robey Warshaw was formally appointed in recent weeks to work alongside Goldman Sachs. The move comes shortly before a December 10 deadline that will release Altice - which took a 12% stake in BT in June - from a binding commitment not to launch a takeover bid.
On June 10, Altice UK Sarl, a new company wholly owned by billionaire Altice Europe NV founder Patrick Drahi, bought a 12% stake in BT. Drahi's company said it did not intend to make an offer for the whole company, a binding statement under UK takeover rules.
CityAM's report said BT's move of confirming its cost-savings could also include the next phase of redundancies, which currently includes 13,000 job cuts.
By Paul McGowan; [email protected]
Copyright 2021 Alliance News Limited. All Rights Reserved.
Related Shares:
BT