Shares of Qwest Communications International jumped 5.3 percent Thursday on speculation that British Telecommunications is considering the upstart long-distance carrier as a US partner.
The Financial Times of London reported that BT may announce a marketing agreement with a US firm by the end of the month. The list of potential business partners is thought to comprise Bell Atlantic (BEL), AT&T (T), Sprint (FON), and Qwest (QWST).
Ten-year-old Qwest would gain the most from such an alliance because of its small size. Qwest shares rose $2.13 to close at $42.13.
Qwest, founded in 1988, is building an advanced fiber optic network to carry voice and data. The Denver firm's acquisition of LCI made it the fourth-largest long-distance carrier.
A Qwest spokeswoman said that the firm does not comment on speculation about merger activity. BT was not immediately available for comment.
BT has been shopping for a US partner since last year, when WorldCom topped the firm's bid for MCI Corp.
