Germany should sell DT stake, audit office suggests

12 May 2014

Germany’s federal audit office, the Bundesrechnungshof, has said that the government should consider selling its 31.9% share in the country’s incumbent telecoms operator Deutsche Telekom (DT), according to German daily Die Welt, as reported by Reuters. The Federal Republic owns a 14.5% stake in DT, which operates under the brand Telekom Deutschland, while a further 17.4% is held via state-owned KfW Bankengruppe. Bundesrechnungshof vice president Christian Ahrendt told Die Welt that the state should examine its holdings, and if there is no longer a public interest in state involvement, the stakes should be sold off. As previously reported by CommsUpdate, in December last year Germany’s Monopolies Commission published a report on competition in the telecoms market in which it recommended the government sell its direct and indirect stake in DT. The independent advisory group said that the state’s shareholding presents ‘possible conflicts of interest arising from the simultaneous role of owner and regulator,’ adding that the proceeds from privatisation could be used to fund broadband expansion.

Germany, Deutsche Telekom, Telekom Deutschland,

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