Slim’s plan to take control of KPN further hit by govt intervention

16 Sep 2013

Carlos Slim’s plan to take control of KPN Telecom of the Netherlands through his America Movil (AM) group has received a further setback, with the news that the Dutch government has issued a warning about the proposed buyout. Last Thursday, the Dutch Minister of Economic Affairs, Henk Kamp, warned that the acquisition of the Dutch incumbent by a ‘foreign company’ had consequences for national security, further muddying the water. Slim’s planned EUR7.2 billion (USD9.52 billion) takeover bid has already faced a challenge from an independent foundation committed to the protection of KPN shareholders’ interests, which last month stepped in to block him. Now, in a letter to the Dutch parliament sent on Thursday, the minister said the government will seek to secure ‘additional binding agreements’ to ensure that the public’s interests – relating to KPN’s infrastructure – are protected in any deal. ‘Due to before mentioned interests the cabinet is actively involved and making an effort for extra protection of the public interest through additional binding agreements,’ the minister said, according to MarketWatch, citing The Wall Street Journal as reporting.

Netherlands, America Movil (AM), KPN