KT likely to apply this month for merger with KTF: source

(ATTN: RECASTS lead; CORRECTS type of service provided by KTF in para 2)
SEOUL, Jan. 11 (Yonhap) -- KT Corp., South Korea's top fixed-line and broadband
operator, plans to apply later this month for a merger with its mobile service
unit, KTF Co., a source said Sunday.
If the much-anticipated merger is approved, experts say it would create a company
worth nearly 20 billion won in sales by June, as KT controls 90 percent of South
Korea's telephony services while KTF serves more than 40 percent of the country's
mobile service users.
"I recently heard from KT that the application for the merger will be submitted
within this month," the source at the Korea Communications Commission said.
"We plan to review it as soon as it is received," the source said, suggesting a
quick approval cannot be ruled out despite anti-trust concerns. The commission
will have 90 days for examination.
Over 90 percent of South Koreans use mobile phones, while a similar portion of
households have broadband access. South Korea's communication providers have been
increasingly bundling different services to create new profits.
samkim@yna.co.kr
(END)