Speculation around BT’s vulnerability to takeover ahead of its half-year results report

BT shares have lost a third of their value since June – and more than 70 per cent over the past six years. 

It makes grim reading for the telecom group’s shareholders and its board. And speculation around the firm’s vulnerability to a takeover will loom large when it reports its half-year results on Thursday. 

BT has even appointed advisory group Robey Warshaw to beef up its defences against a possible hostile bid. 

The appointment comes ahead of a December 10 deadline after which Altice, a telecoms firm controlled by French billionaire Patrick Drahi, will be released from an obligation not to try to take over the firm. 

Altice made the commitment when it bought a 12 per cent stake in BT for £2billion in June, which helped push the share price to a then 20-month high of 205.6p. However, the stock has declined by over 32 per cent, which may encourage some investors to give any takeover bid a hearing. 

Any such move would come at a very sensitive time for BT, which is due to see Adam Crozier, the controversial ex-boss of Royal Mail, start work as chairman on December 1 after Jan du Plessis stepped down amid reports of clashes with chief executive Philip Jansen.

In terms of the numbers, analysts are predicting sales of £10.2billion for the first half, and earnings of around £3.7billion, flat on the same period last year. 

One thing that is not expected is an interim dividend, although given that Jansen has targeted a 7.7p payout this year many are predicting the whole lot will come in the second half.