KPN and mmO2 discuss possible merger

8 Apr 2003

UK-based mobile group mmO2 [NYSE:OOM] has been involved in exploratory talks with its Dutch rival KPN [NYSE:KPN] over the possible merger of their cellular operations in Benelux, the UK and Germany. The two operators, both of which have successfully rebounded from serious financial troubles over the last few years, have stressed that the talks were not decisive, although they do expect some form of consolidation to materialise within the next two years. If the merger goes ahead, the two operators plan to concentrate mainly on the German market, where they are trailing behind rivals Vodafone and T-Mobil, which share around 80% of the market, but will also join forces in the UK and the Netherlands.



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