French low-cost telecommunications company Iliad SA confirmed on Thursday it had made a takeover offer for T-Mobile US Inc , rivaling an existing takeover offer from Sprint Corp . Confirming reports from earlier in the day it said in a statement it had offered $15 billion in cash for 56.6 percent of T-Mobile US at $33 per share.Iliad said it valued the rest of T-Mobile, the third-largest U.S. carrier and owned by Deutsche Telekom, at $40.50 per share and expects $10 billion of cost savings.Iliad, whose bid is backed by its billionaire founder Xavier Niel, said the proposed deal amounted to a premium of 42 percent premium over T-Mobile's share price before the announcement.The bid already has financing from unnamed international banks and would also require a capital increase, supported by Niel, it said.
Shares of TMUS traded higher by 5.58% or $1.725/share to $32.66. In the past year, the shares have traded as low as $22.95 and as high as $35.50. On average, 3769450 shares of TMUS exchange hands on a given day and today's volume is recorded at 19120148.
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