Germany

T-Mobile loses 77,000 subscribers; France & Deutsche Telecoms signs joint venture

Germany's Deutsche Telekom said that T-Mobile USA lost 77,000 subscribers during the third quarter, bringing its dollar revenues down by 2.3 per cent year-on-year to $5.4 billion.

T-Mobile lost 140,000 customers and gained 63,000 customers during the third quarter.

However, Deutsche Telekom sales jumped 3 per cent to settle at €3.8 billion, while key operating profit soared 5 per cent to €1.1 billion.

E.on delays new Kingsnorth coal plant

Germany's biggest utility, E. on, has delayed plans for a new coal-fired power plant at Kingsnorth in Kent by two to three years, citing lower demand for electricity because of the recession.

Speaking on the issue, a spokesman for E. On said that the recession had "pushed back the need for a new plant in the UK to around 2016 because of the reduction in demand for electricity."

Environmentalists have also been opposing the construction of a new power-plant at Kingsnorth.

Deutsche Telekom may submit for Sprint Nextel

Deutsche Telekom AG is mulling over submitting a bid for Sprint Nextel, the third largest mobile phone operator in US.

As per reports of British newspaper "The Sunday Telegraph", Deutsche Telekom had hired Deutsche Bank to advise the company over a possible multi-billion-dollar bid.

Deutsche Telekom, which owns T-Mobile, will most probably have to go to shareholders and the German government for cash to fund the possible bid. The German government holds a 32 per cent stake in Deutsche Telekom.

Lufthansa may sell BMI to Virgin

German airline Lufthansa is considering the sale of its loss-making subsidiary BMI after getting warnings of downgrade by the rating agencies.

Lufthansa, the second largest airline in Europe, owns 80 per cent of CASTLE Donington-based BMI.

Sunday Telegraph reported yesterday that Lufthansa may sell-off BMI in order to lift funds. Reports also indicated that Sir Richard Branson's Virgin Atlantic may purchase BMI.

Silverfleet Capital acquires Kalle for £183m

London-based private equity firm Silverfleet Capital has acquired Kalle, a Germany-based manufacturer of artificial sausage casings plus sponge cloths, for €212.5 million.

Silverfleet Capital has acquired Kalle from Montagu Private Equity. Originally, Montagu Private Equity had acquired Kalle from CVC Capital Partners in 2004.

Kalle, which is one of the top five global producers of artificial casings for sausages and possesses plants in Hungary, Germany, the Czech Republic and the like, provides employment to about 1,200 people.

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