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T-Mobile’s 27% Slide Meets An Elliott Revolt—Could A Rerating Be Next?

T-Mobile US suddenly finds itself at the center of an unusual Wall Street power struggle. Shares jumped roughly 3% on September 2 after reports that activist investor Elliott Investment Management had built a sizable stake in Deutsche Telekom and was pushing the German telecom giant to abandon a potential combination with T-Mobile. The reaction was particularly notable because T-Mobile shares had fallen roughly 27% over the preceding year. Deutsche Telekom already owns around 54% of T-Mobile, yet it has explored a structure that could bring both companies under a new parent and potentially create the largest public-company merger ever. Elliott reportedly favors alternative ways of unlocking value, including larger Deutsche Telekom share buybacks. The debate is becoming more interesting because T-Mobile’s underlying business remains strong, making this less a turnaround story than a dispute over ownership, valuation, capital allocation, and how shareholders should ultimately benefit from the company’s growth.