12th Feb 2015 07:14
LONDON (Alliance News) - BT Group PLC Thursday announced a placing of new shares to raise around GBP1.0 billion, which it will use to part fund its acquisition of mobile provider EE Ltd.
BT announced last Thursday that it has agreed to buy EE from its joint owners Deutsche Telekom AG and Orange SA for GBP12.5 billion in cash and shares. It also will issue BT shares to EE's two current owners, giving Deutsche Telekom a 12% stake and Orange a 4% stake.
BT said Thursday that the shares issued in the placing will represent around 3% of its outstanding share capital. The placing will be conducted through an accelerated bookbuilding process conducted by JP Morgan Securities PLC, Merill Lynch International and Goldman Sachs.
BT noted that, if the acquisition does not go through, the proceeds from the placing will be retained by BT for general corporate purposes.
The price and number of shares involved in the placing will be agreed at the close of the bookbuild process.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
BT