RPT-KPN says America Movil backs its capital increase

Wed Feb 20, 2013 1:55am EST

BRUSSELS Feb 20 (Reuters) - Dutch telecoms group KPN said on Wednesday its largest shareholder, America Movil, supported its plan to raise 4 billion euros ($5.34 billion) in equity capital to avoid a credit rating downgrade.

KPN said the operation would consist of a 3 billion euro rights issue and, in addition, the issuance of hybrid capital instruments, which were expected to receive partial equity recognition.