America Movil plans to keep current KPN strategy - unions

The logo of America Movil is seen on the wall of the reception area in the company's corporate offices in Mexico City February 13, 2013.

Credit: Reuters/Edgard Garrido

BRUSSELS | Wed Aug 28, 2013 6:41pm BST

BRUSSELS (Reuters) - Mexican telecoms group America Movil (AMXL.MX) will keep KPN's (KPN.AS) current strategy if its proposed 7.2 billion euro ($9.6 billion) bid for the telecoms company is successful, the group told unions on Wednesday.

Mexican billionaire Carlos Slim's America Movil sent its CEO Daniel Hajj to meet with union representatives and Dutch economic affairs minister Henk Kamp to give more details about its planned bid for KPN.

"They made clear to us that the current strategy of the management in terms of investments and employment would be kept. There would be no changes in those matters in the short term," a spokesman for union Abvakabo-FNV said.

America Movil, which already owns close to 30 percent of KPN, did not give any job guarantees to the unions.

"I don't know whether America Movil will make any promises or give guarantees in the coming period ahead of the official bid. As a union we hope so because it would make it easier for us to be positive about the takeover," a spokesman for union Qlix said.

America Movil said earlier this month that its financing for the bid was in place and it expected the bid of 2.40 euros per share to proceed in September.

A spokesman for the Dutch economic affairs ministry said that the talks with America Movil were fruitful and that contacts between the minister and the Mexican group would continue.

A spokeswoman for America Movil did not comment on the meetings.

(Reporting by Robert-Jan Bartunek, additional reporting by Sara Webb; Editing by Louise Heavens)

View the original article here

This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.

America Movil secures financing to buy KPN

Mexican billionaire Carlos Slim looks on before he gives a speech at Mexico's school of engineers during an event to mark the 50th anniversary of his engineering degree, in Mexico City May 28, 2013.

Credit: Reuters/Henry Romero

BRUSSELS | Wed Aug 21, 2013 4:02am EDT

BRUSSELS (Reuters) - Mexican telecoms group America Movil said it has put in place financing to buy the rest of Dutch group KPN even though its offer may be too late to influence the sale of KPN's German unit in October.

The Mexican group controlled by billionaire Carlos Slim made the offer weeks after KPN announced it would sell E-Plus to Spain's Telefonica for 8.1 billion euros ($11 billion) in cash and shares, disrupting America Movil's foray into Europe.

People close to the matter said at the time that Slim's company, which already owns close to 30 percent in KPN, viewed the offer as too low and fraught with regulatory risks.

Shortly after America Movil made its announcement on Wednesday, KPN said it would convene a shareholders meeting on October 2 to vote on the E-Plus sale.

KPN's shares rose as much as 3.35 percent on Wednesday, making them one of the strongest performers on the FTSEurofirst 300 Index of leading European shares.

At 2.29 euros per share, they remained below the 2.40 euros America Movil is bidding, indicating the market is not holding out for a higher price.

While America Movil expects its offer to proceed in September, it will not come soon enough to increase its holding in KPN significantly ahead of the shareholders meeting.

KPN said that only those holding KPN shares as of September 4 would be eligible to vote at the EGM.

Should America Movil breach the threshold of 30 percent by other means than its voluntary offer, a judge could force it to make a mandatory offer and pay a "reasonable price", according to Dutch law.

Such a price is in theory the highest price a bidder has paid in the year previous to the announcement of a mandatory bid, Dutch market regulator AFM says on its website, adding that this would have to be determined by a judge.

Determining such a price would be no easy task, as America Movil offered 8 euros per share in May 2012 but shares fell to a low of 1.38 euros just after KPN's rights issue in April 2013.

Even with its current stake of 30 percent, America Movil may be able to block the deal, given the traditionally low turnout at KPN's shareholders meetings.

(Reporting by Robert-Jan Bartunek; editing by Philip Blenkinsop and David Cowell)

View the original article here

This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.

America Movil secures financing to buy KPN

Mexican billionaire Carlos Slim looks on before he gives a speech at Mexico's school of engineers during an event to mark the 50th anniversary of his engineering degree, in Mexico City May 28, 2013.

Credit: Reuters/Henry Romero

BRUSSELS | Wed Aug 21, 2013 4:02am EDT

BRUSSELS (Reuters) - Mexican telecoms group America Movil said it has put in place financing to buy the rest of Dutch group KPN even though its offer may be too late to influence the sale of KPN's German unit in October.

The Mexican group controlled by billionaire Carlos Slim made the offer weeks after KPN announced it would sell E-Plus to Spain's Telefonica for 8.1 billion euros ($11 billion) in cash and shares, disrupting America Movil's foray into Europe.

People close to the matter said at the time that Slim's company, which already owns close to 30 percent in KPN, viewed the offer as too low and fraught with regulatory risks.

Shortly after America Movil made its announcement on Wednesday, KPN said it would convene a shareholders meeting on October 2 to vote on the E-Plus sale.

KPN's shares rose as much as 3.35 percent on Wednesday, making them one of the strongest performers on the FTSEurofirst 300 Index of leading European shares.

At 2.29 euros per share, they remained below the 2.40 euros America Movil is bidding, indicating the market is not holding out for a higher price.

While America Movil expects its offer to proceed in September, it will not come soon enough to increase its holding in KPN significantly ahead of the shareholders meeting.

KPN said that only those holding KPN shares as of September 4 would be eligible to vote at the EGM.

Should America Movil breach the threshold of 30 percent by other means than its voluntary offer, a judge could force it to make a mandatory offer and pay a "reasonable price", according to Dutch law.

Such a price is in theory the highest price a bidder has paid in the year previous to the announcement of a mandatory bid, Dutch market regulator AFM says on its website, adding that this would have to be determined by a judge.

Determining such a price would be no easy task, as America Movil offered 8 euros per share in May 2012 but shares fell to a low of 1.38 euros just after KPN's rights issue in April 2013.

Even with its current stake of 30 percent, America Movil may be able to block the deal, given the traditionally low turnout at KPN's shareholders meetings.

(Reporting by Robert-Jan Bartunek; editing by Philip Blenkinsop and David Cowell)

View the original article here

This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.

America Movil secures financing to buy KPN

Mexican billionaire Carlos Slim looks on before he gives a speech at Mexico's school of engineers during an event to mark the 50th anniversary of his engineering degree, in Mexico City May 28, 2013.

Credit: Reuters/Henry Romero

BRUSSELS | Wed Aug 21, 2013 4:02am EDT

BRUSSELS (Reuters) - Mexican telecoms group America Movil said it has put in place financing to buy the rest of Dutch group KPN even though its offer may be too late to influence the sale of KPN's German unit in October.

The Mexican group controlled by billionaire Carlos Slim made the offer weeks after KPN announced it would sell E-Plus to Spain's Telefonica for 8.1 billion euros ($11 billion) in cash and shares, disrupting America Movil's foray into Europe.

People close to the matter said at the time that Slim's company, which already owns close to 30 percent in KPN, viewed the offer as too low and fraught with regulatory risks.

Shortly after America Movil made its announcement on Wednesday, KPN said it would convene a shareholders meeting on October 2 to vote on the E-Plus sale.

KPN's shares rose as much as 3.35 percent on Wednesday, making them one of the strongest performers on the FTSEurofirst 300 Index of leading European shares.

At 2.29 euros per share, they remained below the 2.40 euros America Movil is bidding, indicating the market is not holding out for a higher price.

While America Movil expects its offer to proceed in September, it will not come soon enough to increase its holding in KPN significantly ahead of the shareholders meeting.

KPN said that only those holding KPN shares as of September 4 would be eligible to vote at the EGM.

Should America Movil breach the threshold of 30 percent by other means than its voluntary offer, a judge could force it to make a mandatory offer and pay a "reasonable price", according to Dutch law.

Such a price is in theory the highest price a bidder has paid in the year previous to the announcement of a mandatory bid, Dutch market regulator AFM says on its website, adding that this would have to be determined by a judge.

Determining such a price would be no easy task, as America Movil offered 8 euros per share in May 2012 but shares fell to a low of 1.38 euros just after KPN's rights issue in April 2013.

Even with its current stake of 30 percent, America Movil may be able to block the deal, given the traditionally low turnout at KPN's shareholders meetings.

(Reporting by Robert-Jan Bartunek; editing by Philip Blenkinsop and David Cowell)

View the original article here

This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.