Iliad may not have to outbid Sprint Corp to win control of telecom T-Mobile US, because there's a greater chance the French phone company can win US regulatory approval, said analysts yesterday.

Iliad made a surprise $15 billion (€11 billion) cash offer for the US mobile operator on Thursday, setting itself in opposition to Japanese-owned Sprint Corp, which has been courting T-Mobile for six months.

However, a merger of Sprint and T-Mobile would cut the number of players in the market to three from four.

This prompted analysts to argue Iliad’s offer would face fewer objections from the US authorities.

Investors are more inclined to get behind a sure thing, which means Iliad could offer less than Sprint and still prevail, according to Kevin Smithen, an analyst at Macquarie Securities US. Iliad may only need to raise its bid to $37 a share . – (Bloomberg)