BBC Homepage World Service Education
BBC Homepagelow graphics version | feedback | help
BBC News Online
 You are in: Business
Front Page 
World 
UK 
UK Politics 
Business 
Market Data 
Economy 
Companies 
E-Commerce 
Your Money 
Business Basics 
Sci/Tech 
Health 
Education 
Entertainment 
Talking Point 
In Depth 
AudioVideo 
Tuesday, 9 May, 2000, 11:32 GMT 12:32 UK
NTT, KPN in mobile deal
DoCoMo
DoCoMo is to gain a foothold in Europe
Japanese telecommunications company NTT DoCoMo is to take a 15% stake in the mobile unit of Dutch telecommunications company, Royal KPN for 5bn euros ($4.5bn)

The stake gives DoCoMo, the mobile arm of NTT Communications, a long-awaited foothold in the European market.

The deal marks DoCoMo's largest single investment overseas.

DoCoMo's interest in KPN's mobile business had hit the rumour mill after merger talks between Spain's Telefonica and KPN broke down last week.

Expansion plans

The talks floundered when Spain objected to the Dutch government's 44% shareholding in KPN.

The merger breakdown heightened speculation that KPN would seek a partner in its mobile phone business to help fund its expansion plans.

The DoCoMo/KPN alliance would strengthen a potential joint bid for UK mobile phone operator, Orange, which DoCoMo is rumoured to be interested in.

KPN has also expressed an interest in the company.

Germany's Mannesman must sell its stake in Orange as part of its merger with Vodafone Airtouch.

The alliance comes hot on the heels of another large deal by NTT Communications, DoCoMo's parent company.

It said on Monday it would buy US internet company Verio for $5.5bn.

Search BBC News Online

Advanced search options
Launch console
BBC RADIO NEWS
BBC ONE TV NEWS
WORLD NEWS SUMMARY
PROGRAMMES GUIDE
See also:

08 May 00 | Business
NTT in $5.5bn web deal
05 May 00 | Business
Telefonica merger called off
02 May 00 | Business
Dutch treat for Telefonica
20 Apr 00 | Business
Goldman Sachs faces Japan ban
17 Nov 99 | The Company File
NTT to slash workforce
21 Oct 99 | Business Basics
The Telecom Revolution
Internet links:


The BBC is not responsible for the content of external internet sites

Links to other Business stories are at the foot of the page.


E-mail this story to a friend

Links to more Business stories