Orange -3.9% as company abandons French M&A plans

|About: Orange (ORAN)|By:, SA News Editor

Orange (ORAN) "has examined the possibilities of participating in an operation that would lead to consolidation in the French telecoms market, and believes that it cannot pursue this avenue at the present time as the conditions that the Group has set have not been met."

A source tells Reuters rival Bouygues (BOUYY -2.2%) was seeking too high of a price, and that 3-way talks that also included upstart carrier Iliad (to soothe antitrust concerns) are over.

Investors were hoping Orange would strike a deal cutting the number of French mobile carriers to 3, and in doing so cool off an intense price war launched by Iliad. The French government (owns 27% of Orange) backed the effort.

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