KPN, Telecom Eireann's Dutch strategic alliance partner, is planning to list its telecoms and postal units separately in the first half of 1998, freeing them to pursue their own markets independently.
The company said the move was a logical step following the rapid development of both businesses after a phased privatisation in 1994 and 1995 which has left the Dutch government with a minority holding of around 45 per cent.
"If ever there was a small synergy between post and telecom it's decreasing and there is no overlap," KPN chairman, Mr Wim Dik said.
KPN said that existing and potential synergies were not considered crucial to the business strategies of PTT Post and PTT Telecom, adding the split would widen strategic opportunities and make the valuation of the shares more transparent.
PTT Telecom has recently announced plans to merge its international networks with those of its partners in the Unisource alliance - Telia of Sweden and Swiss Telecom PTT.
Unisource is aligned with AT&T Corp's World Partners alliance. KPN and Telia bought 20 per cent of Telecom Eireann for £183 million and have an option to increase this stake to 35 per cent.
