BUZZ-KPN: Barclays ups to "overweight" as 3-player potential remains

** Barclays (LSE: BARC.L - news) raises Dutch telco to "overweight"; shares near top of Amsterdam-listed blue chip index (+0.6%)

** Analysts write that Dutch telco regulator shows pragmatism around four-to-three Mobile consolidation; adds a PE-funded acquisition of NL operations T-Mobile/Tele2 could deliver rare European mobile merger scenario

** Barclays also says main competitor VodafoneZiggo remains rational and focused internally in 2017

** "KPN FCF and dividends will benefit from cost-cutting, balance sheet optimisation and Telefonica Deutschland proceeds," it adds

** Brokerage also ups PT to EUR 3.6 (+9%)