BT Wireless takes £2bn hit in pre-float move

NEWS The mobile arm of BT is expected to take on around £2bn of its parent company's debts as part of the old incumbent's major restructuring plan, expected to be confirmed in a meeting this Wednesday. Wednesday's meeting is part of BT's plans to float the wireless arm and publish the company's prospectus. The telco is likely to tell the markets to prepare for a November float. BT has been actively seeking to reduce its debt burden this year by selling its holdings in Asian and Spanish telcos as well as getting rid of its loss-making directory services unit, Yell. The company has managed to reduce its debt mountain from £30m to £17.5bn. BT has also announced the new brands for its businesses. BT Wireless will be called O2 which analysts see as part of the company's attempt to distance itself from the incumbent telco.