Analysts believe Patrick Drahi will take a seat on the board of BT by buying Deutsche Telekom's stake in the group
Patrick Drahi will take a seat on the board of BT by buying Deutsche Telekom's stake in the group, analysts believe.
The French billionaire owns a 12.1 per cent stake in the British telecoms giant through his firm Altice.
When he bought the stake in June he ruled out making a full takeover offer.
Signing on: It is thought Patrick Drahi will buy the 12 per cent owned by German giant Deutsche Telekom and take its seat on the BT board
Under City rules, that meant he could not buy any more shares for six months.
The freeze ends a week today – on December 11 – when Drahi will be able to make his next move.
It is thought he will buy the 12 per cent owned by German giant Deutsche Telekom and take its seat on the BT board.
He would join alongside chairman Adam Crozier, the former boss of Royal Mail and ITV who started on Wednesday.
Carl Murdock-Smith, telecoms analyst at investment bank Berenberg, said a full-blown takeover is unlikely because of BT's status as a 'strategic asset'.
He said the Government was likely to intervene in any such move. He said: 'I do not think Drahi will try to bid for BT overall because he will recognise those issues and recognise that he would not succeed. He will realise the political sensitivities around this.'
The end of Drahi's tie-up comes amid a flurry of takeover speculation around BT.
AJ Bell financial analyst Danni Hewson said private equity firms are waking up to the idea there is 'money to be made' in telecoms.
She said: 'When Altice took on a 12 per cent stake of BT in the summer everyone sat up and took notice.'
Most watched Money videos
- Iconic Dodge Charger goes electric as company unveils its Daytona
- 2025 Aston Martin DBX707: More luxury but comes with a higher price
- How to invest to beat tax raids and make more of your money
- BMW meets Swarovski and releases BMW i7 Crystal Headlights Iconic Glow
- 'Now even better': Nissan Qashqai gets a facelift for 2024 version
- Skoda reveals Skoda Epiq as part of an all-electric car portfolio
- Mini unveil an electrified version of their popular Countryman
- How to invest for income and growth: SAINTS' James Dow
- Tesla unveils new Model 3 Performance - it's the fastest ever!
- Mercedes has finally unveiled its new electric G-Class
- Mini celebrates the release of brand new all-electric car Mini Aceman
- The new Volkswagen Passat - a long range PHEV that's only available as an estate
- Change stamp duty so it's easier to move up and down...
- Britain's manufacturing sector suffers downturn amid...
- Anglo American in crisis talks with shareholders over...
- The used electric car timebomb - EVs could become...
- House prices fall for second month due to higher mortgage...
- Premium Bonds winning numbers for May 2024 - see all the...
- FatFace and Reiss boost shopping at Next as it reveals...
- Car makers post a slump in profits amid weak demand for...
- GSK raises annual profit outlook amid strong sales of...
- Why Pret's £4.50 cheddar baguette made me swear never to...
- HSBC boss to quit after just five years: Quinn eyes 'rest...
- The best investment of last year? Premium Bond saver wins...
- Customers are shying away from big ticket purchases, says...
- Aston Martin shares fall as DBX SUV sales drop - but it...
- BUSINESS CLOSE: GSK raises guidance; Next exceeds...
- Amazon booms on AI bonanza: Tech titan rakes in sales of...
- Oil firm Deltic Energy slams 'hostile political environment'
- Booming Next closes in on £1bn profit milestone with...