DUTCH TELECOMS group KPN said it could sell its German unit, its largest and most profitable business, in a renewed attempt to persuade shareholders to reject a bid from Mexican tycoon Carlos Slim.
Mr Slim’s America Movil has launched an offer of $3.25 billion, or €8 per share, for up to 28 per cent of KPN, enough to have a major say in the company’s strategy but below the threshold that would oblige it to make an offer for the whole company.
KPN said yesterday it would review its options for the E-Plus German unit to create “superior value” for all its shareholders.
“As I have said, we are exploring all strategic options and we will take decisions in the best interests of our shareholders to maximise value,” chief executive Eelco Blok said.
Corne van Zeijl, a fund manager at SNS Asset Management, which owns about 0.5 per cent of KPN, said a sale of E-Plus might deter America Movil, which raised its KPN holding on Thursday to 5.01 per cent from 4.8 per cent.
KPN urged again shareholders to reject Mr Slim’s offer, saying an acquisition of such a stake might deprive them of a mergers and acquisitions premium. – (Reuters)
