America Movil Says KPN Takeover Bid Unlikely to Come This MonthPatricia Laya
America Movil SAB, which announced plans in August to make a takeover bid for Royal KPN NV, said it probably won’t make a formal offer until October because it needs more time to negotiate with the Dutch carrier.
America Movil is still in talks with KPN and “making good progress toward finalizing preparations” to make its offer of 2.40 euros a share, a move that was previously slated for September, according to a filing today. The company said it continues to evaluate all options, including its right to drop the bid.
The Mexico City-based wireless carrier, controlled by billionaire Carlos Slim, acquired a stake of about 30 percent in KPN last year. The new bid would boost its holdings in the former Dutch phone monopoly to more than 50 percent, part of a strategy to expand beyond Latin America.
KPN’s foundation, an independent organization set up to protect the company’s interests, has expressed opposition to the America Movil takeover. It exercised an option in August to acquire preferred shares to impede what it described as a hostile takeover. The option gave it just under 50 percent of issued and voting stock, almost enough to block America Movil’s offer for majority control.
Stefan Simons, a KPN spokesman, didn’t immediately respond to a request for comment.