Ambitious cable-to-mobile group Altice is not interested in bidding for America Movil’s 21 per cent stake in Dutch operator KPN, following renewed speculation about the Latin American giant’s intentions for its shares in the company.
America Movil reclassified its investment in KPN from a long term investment to an “available for sale asset” in May. However, attention has again been drawn to the holding following America Movil’s results on Friday.
Altice’s chairman and founder Patrick Drahi weighed up a bid for a stake in KPN in the past, but did not follow through because the price was too high.
The company has since turned its attentions to other parts of Europe and the US.
“We’re not interested (in KPN),” Altice chief executve Dexter Goei told Dutch newspaper De Telegraaf. “We are very much focussed on the integration of France’s SFR and Portugal Telecom and the closing of the takeover of Suddenlink from America.”
Altice struck a $9 billion deal to acquire US cable operator Suddenlink in the US in May, roughly the same time it was reportedly mulling a bid for a stake in KPN.
The ambitious telecoms and cable group month made a hostile bid to acquire French rival Bouygues Telecom.
Former Dutch monopoly KPN is considered undercapitalised and ripe for a takeover, according to Reuters sources.
America Movil bid €7.2 billion to take full control of KPN three years ago, but was hindered by a shareholder foundation which is designed to protect the company from a hostile takeover.
In May this year, Slim moved to sell €3 billion worth of bonds, exchangeable for KPN shares, which gives it the opportunity to dramatically reduce its 21 per cent stake in the company by 2020, fuelling disposal speculation.
America Movil’s stake in KPN is worth approximately €3 billion.