KPN Buybacks Plausible, M&A Potential Supportive: Morgan Stanley
2015-07-03 06:56:12.678 GMT
By Kasper Viita
(Bloomberg) -- KPN’s 2Q results should be supportive of
earnings stabilization with similar trends to 1Q, Morgan Stanley
says in note, keeps overweight.
* Says it’s “plausible” to expect extra returns or buybacks
* Returns would be mid-single-digit accretive for free
cash flow available to shareholders if using proceeds
from Belgian unit Base; double digit from potential
Telefonica Deutschland stake sale
* Says potential for M&A could be supportive for shares,
referring to earlier comments from Altice, Orange
* NOTE: Drahi prepares for bigger M&A deals with new Dutch
entity
* NOTE: KPN was second-best European telco performer in June,
stock trades above 2-year historical valuations, peer group
multiples
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To contact the reporter on this story:
Kasper Viita in London at +44-203-525-9219 or
kviita1@bloomberg.net
To contact the editor responsible for this story:
James Ludden at +44-20-3525-2645 or
jludden@bloomberg.net
2015-07-03 06:56:12.678 GMT
By Kasper Viita
(Bloomberg) -- KPN’s 2Q results should be supportive of
earnings stabilization with similar trends to 1Q, Morgan Stanley
says in note, keeps overweight.
* Says it’s “plausible” to expect extra returns or buybacks
* Returns would be mid-single-digit accretive for free
cash flow available to shareholders if using proceeds
from Belgian unit Base; double digit from potential
Telefonica Deutschland stake sale
* Says potential for M&A could be supportive for shares,
referring to earlier comments from Altice, Orange
* NOTE: Drahi prepares for bigger M&A deals with new Dutch
entity
* NOTE: KPN was second-best European telco performer in June,
stock trades above 2-year historical valuations, peer group
multiples
For Related News and Information:
First Word scrolling panel: FIRST<GO>
First Word newswire: NH BFW<GO>
To contact the reporter on this story:
Kasper Viita in London at +44-203-525-9219 or
kviita1@bloomberg.net
To contact the editor responsible for this story:
James Ludden at +44-20-3525-2645 or
jludden@bloomberg.net