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Dutch telecoms group KPN had held talks to take over the Dutch, Belgian and German activities of Dutch computer services company Getronics, a newspaper reported on Saturday.
Dutch financial daily Het Financieele Dagblad quoted several sources, who were involved in the negotiations as saying the two companies held talks twice in the past year and a half but they failed to yield a result. A spokesman for Dutch dominant telecoms group KPN confirmed that the two companies had contact but declined to say what the talks were about.
"There have been orientation talks some time ago. They didn't lead to anything. There are no more talks now," the KPN spokesman said. Getronics declined comment.
The newspaper said KPN was interested in Getronics because it was active in the fast-growing segment of business communications services, a field where KPN is seeking expansion.
In line with this strategy, KPN bought service network Enterprise Networks from Siemens Netherlands and Belgain-based information technology firm NewTel Essence earlier this year.
Getronics, one of Europe's biggest IT services companies whose main business is managing desktop computers and networks for large companies, has been under pressure to cut its number of loss-making businesses and raise cash to reduce its debt.

Copyright Reuters, 2006

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