Telenet Makes Provisional Offer for KPN’s Base Unit, L’Echo Says

Telenet Group Holding NV (TNET) has made an offer to buy Royal KPN NV’s (KPN) Base unit, L’Echo reported, citing people familiar with the matter without naming them.

While Telenet has publicly denied an interest in Base, the company last week put forward a provisional offer for the Belgian mobile-phone operator, the newspaper said. The bid envisages a joint acquisition of Base by Telenet and Belgian cable operator Voo, according to L’Echo.

Telenet may make a binding offer for Base within the next two weeks, L’Echo said. This contradicts a statement from the company yesterday that it “is not pursuing any significant acquisitions in the foreseeable future,” according to the newspaper.

Vincent Bruyneel, spokesman for Telenet, was not immediately available when called by Bloomberg News.

Telenet shares declined as much as 3.4 percent in Brussels and traded at 34.80 euros at 9:07 a.m. local time, down 1.4 percent.

KPN is seeking to sell Base after ending discussions on a potential merger involving its E-Plus wireless unit in Germany. The company, based in The Hague, last month cut its dividend forecast by 61 percent after earnings trailed analysts’ estimates.

To contact the reporter on this story: Jim Brunsden in Brussels at jbrunsden@bloomberg.net

To contact the editor responsible for this story: Anthony Aarons at aaarons@bloomberg.net

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