America Movil has terminated a “relationship agreement” with KPN that will now allow it to increase its stake in the Dutch operator to 30% or more.
The Latin American telecoms giant currently owns just less than 30% of KPN (The Hague, Netherlands) and until now was prohibited from increasing its stake in the operator under the agreement.
According to a clause in that agreement, however, the ownership restriction would cease to apply if KPN or a KPN subsidiary agreed to a takeover offer from another party.
Kuwait-based Zain has reported a 20% drop in net income for the first half of the year, to KWD113 million ($397.4 million), with adverse currency movements in Sudan largely to blame for the setback.
The company, which owns telecoms businesses across the Middle East and parts of Africa, also reported an 8% fall in revenue, to KWD612 million.
Egyptian fixed-line incumbent Telecom Egypt has signed a deal to provide transmission services to Etisalat Misr, the country’s number-three mobile operator and a subsidiary of United Arab Emirates giant Etisalat.
In a statement, Telecom Egypt (Cairo, Egypt) says the “long-term” agreement gives Etisalat (Cairo, Egypt) the right to use transmission services across its network immediately, citing the value of the contract as EGP200 million ($28.6 million) annually.
Orange chief executive Stephane Richard has lashed out at European regulators, claiming their opposition to consolidation is weakening the sector, in an interview with French newspaper Le Figaro.
The boss of France’s biggest telecoms operator believes there are too many operators and that mergers and acquisitions should be allowed, while also arguing for a single European regulator instead of numerous national regulatory authorities.
Vodafone said it did not expect any let-up in the pressures weighing on its business, as the world's second-largest mobile operator reported first-quarter results hit by regulation and recession across Europe.
The British group, which has been battling regulator-ordered price cuts, economic pressures and competition throughout its European markets, said on Friday it expected the next three months to follow broadly the same trends after reporting yet another sharp drop in its key revenue measurement.
Verizon Communications Inc said strength in its wireless business was tempered by weakness in its traditional wireline unit, producing softer-than-expected revenue growth for the quarter and sending its shares down nearly 2 percent.
The telecommunications company said on Thursday that corporate and government customers were cutting costs, partly offsetting better-than-estimated wireless customer growth. Also, wireless profit margins were hurt by higher costs.
Liberty Global has given up efforts to acquire Kabel Deutschland, recently the target of a €7.7 billion ($10.1 billion) offer from Vodafone, and will instead focus takeover efforts on the southern Europe region, reports Bloomberg.
Liberty’s (Meridian, CO, USA) interest had forced Vodafone (Newbury, UK) to raise the price of its original offer but the UK operator now looks free to complete its move for Germany’s biggest cable company later this year.
Sweden’s TeliaSonera said it will prioritize investment in 4G coverage expansion after reporting a return to organic revenue growth for the three months to June 2013.
The operator said revenue for the second quarter fell by 3.9%, to SEK25.3 billion ($3.85 billion), but blamed the impact of regulatory cuts to interconnection rates as well as exchange rate fluctuations for the decline.
Net income for the group dropped by 16.9%, to SEK4 billion, due largely to the effect of non-recurring items related to efficiency measures.
US operator Sprint has announced a series of price cuts and provided a “guarantee” that customers will be able to continue enjoying unlimited data usage for the lifetime of a service.
The announcement comes shortly after Japan’s SoftBank (Tokyo) completed its takeover of the number-three player and quashes speculation that Sprint (Overland Park, KS, USA) would be forced to abandon its unlimited-usage offers and follow bigger rivals AT&T (Dallas, TX, USA) and Verizon Wireless (New York City, NY, USA) into imposing monthly caps on subscribers.
Telefonica O2 preparations for the summer launch of 4G have received a boost from a deal to use Virgin Media’s high-speed fiber-optic network to support the service.
The two operators have concluded a ten-year agreement that will see Virgin Media Business connect O2’s base stations to its fiber network using a high-capacity Ethernet service.
Virgin Media (Hook, UK) claims each link will provide a 1Gbps connection between cell site and the aggregation network.