Dutch telco KPN has reacted to media speculation that it may sell its Belgian unit, BASE, by issuing a short statement saying it is exploring “strategic options” for the mobile operator.
“KPN is continually reviewing its alternatives in …
Dutch telco KPN has reacted to media speculation that it may sell its Belgian unit, BASE, by issuing a short statement saying it is exploring “strategic options” for the mobile operator.
“KPN is continually reviewing its alternatives in respect of executing its strategy,” the statement read. “In this respect, KPN is conducting a comprehensive review of the strategic operations in Belgium.”
KPN – the Netherlands’ largest telecoms provider – said the likely outcome of the review is unclear at present, adding that it will make further announcements “if and when appropriate”.
A company spokesperson declined to comment further on the matter.
At the weekend, Bloomberg reported KPN is considering selling BASE – Belgium’s third largest mobile phone operator with a market share of about 23% – for about €1.8bn (US$2.4bn).
According to the report, which cited unnamed sources, discussions regarding BASE’s future are at an early stage and no formal process has yet begun. The report stated BASE – which KPN contends is Belgium’s fastest growing mobile operator – is likely to attract interest from private equity investors such as UK-based Apax Partners.
In January, KPN CFO Eric Hageman told reporters at a press conference the company would consider serious bids for its local and foreign assets, including its comparatively well-performing Belgian and German operations.
Hageman said at the time the company would take an open view of bids for its Belgian and German units although it hadn’t received any as yet.
KPN reported disappointing results for the 2011 financial year and stated it planned to streamline its operations, products and services in 2012. During the aforementioned press conference, Hageman and KPN CEO Eelco Blok emphasised the comparatively strong performances of the Belgian and German units.
