Deutsche Telekom AG (DTEGn.DE) said it would focus on organic growth and return cash to shareholders after agreeing the sale of T-Mobile USA to AT&T (T.N) for $39 billion, lifting its shares to a two-year high. The deal, which creates a new U.S. industry leader with Deutsche Telekom as an 8 percent shareholder, is the world's biggest M&A deal this year and Germany's biggest in a decade. It gives AT&T access to T-Mobile's spectrum, crucial for expansion. The agreement ends long-running uncertainty about Deutsche Telekom's sub-scale U.S. business, but raises questions about the company's growth strategy as it retrenches in its European heartlands. It will also raise anti-trust concerns.
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