KPN shares take a battering following new issue announcement

Shares in telecoms group KPN fell 22% on the Amsterdam stock market on Tuesday after the company’s announcement of a €4bn new share issue.

The slide in value began on Tuesday morning on news of the share issue and a loss of €160m in the fourth quarter. Shares dropped initially to 16% but were down a further 6% by early afternoon, to €3.20.

KPN said the share issue is a bid to strengthen its financial position following its investment of €1.35bn in 4G mobile internet frequencies .