Juan Fernandez Gonzalez | 23-07-2013
Telefónica is currently in negotiations with the Dutch company KPN to buy its German mobile business E-Plus.
According to the Financial Times, around €4,500 million will be paid for E-Plus, while KPN will get shares in Telefónica Germany.
Yesterday Telefónica confirmed to the Spanish market authority CNMV the rumours of the sale, but added that no agreement had yet been reached. According to the Europa Press, the Dutch company also confirmed that is looking for buyers for the German telecom subsidiary.
When the markets closed yesterday, KPN's shares had increased 12.85% to €1.8 while Telefónica's had risen 1.32% to €10.06. In addition, shares in Telefónica's German subsidiary increased 6.75% to €5.69.
Telefónica intends to pay around €4,500 million for over 50% of the company, which is valued, after the merge, at nearly €12,100 million. Carlos Slim, who is major shareholder in KPN, would be also supporting the deal, according to Financial Times.
E-Plus and Telefónica are the third and fourth largest mobile operators in Germany, behind Deutsche Telekom and Vodafone.