KPN's $11 billion deal with Telefonica tests European antitrust stance

Dutch telecoms group KPN will sell its German unit to Telefonica for 8.1 billion euros ($11 billion) in cash and shares, in a long-awaited deal that will test antitrust regulators' views in Europe's largest mobile market.

If KPN's disposal of E-Plus passes muster, the new company would hold a share of about 30 percent of Germany's mobile service revenue and would be better armed to take on Deutsche Telekom and Vodafone, with 35 percent each.