KKR is exploring the sale of European telecom operator United Group in a transaction that could value the company at up to €3bn ($3.47bn), including debt, according to people familiar with the matter.

The auction comes amid a flurry of deal activity in Europe’s communications and broadcasting sector, with companies such as wireless giant Vodafone Group buying assets across Europe to offer packages of cable, internet, wireless and landline-phone services in a bid to win more customers.