America Movil OK with Rival’s Improved German Offer

America Movil (AMX) has given its approval for Telefonica to buy the E-Plus unit of KPN, for EUR8.55bn ($9.65bn), it says. Telefonica’s offer was improved Monday from EUR8.10bn. AMX owns 29.7% of KPN and is preparing a EUR 7.2bn tender for the remainder of the Dutch telecom, and had been unclear on its intentions for KPN’s German business. In the deal, KPN will receive EUR5.0bn cash for E-Plus and will get a 20.5% stake in Telefonica’s German business, up from the 17.6% previously agreed. Telefonica is also to sign an option to buy back 2.9% of its subsidiary after a year at a price of EUR510m. AMX plans to continue with its tender for complete ownership of KPN.