America Movil SAB recently said it won't be making a formal offer until early October as it needs more time to negotiate with the management of Royal KPN NV. America Movil had made a takeover bid for Royal Mail back in August.

According to America Movil, "It is making good progress toward finalizing its preparations." The discussions with KPN includes an offer of EUR2.40 per share, according to a filing made today. It also said the Mexico based telecommunications firm is evaluating all its options, including dropping the bid altogether.

The Carlos Slim-owned wireless carrier had acquired a 30% stake in KPN last year. ITs new bid would increase its shareholdings in the Dutch firm to over 50%. This is one step in performing its strategy of expanding beyond Latin America and into Europe.

KPN Foundation, on the other hand, had expressed its opposition to the bid from America Movil. KPN was set up as an independent organization for the protection of the company's interets. It had moved to acquire preferreed shares through an exercised option to block a hostile takeover. With the option, the foundation had 50% of issued as well as voting stock, which is sufficient to block any bid from America Movil.