Liberty Global's Telenet on Thursday said it was in talks with France's No. 1 telecoms company Orange over a potential network access to Walloon cable operator VOO, which Orange plans to acquire.

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The companies have reached a memorandum of understanding which will structure further negotiations, Telenet said in a statement. Orange was not immediately available for comment.

Orange last year announced its plans to buy a majority stake in the Belgian fixed line business from Nethys in a deal which then valued the firm at 1.8 billions euros.

The planned purchase - currently under European Union anti-trust review, a source has said - would give Orange control over the cable network in Belgium's French speaking Walloon region and part of the Brussels area.

The announced acquisition of 75 per cent in VOO dealt a blow to Orange Belgium's local rival Telenet, which had not been selected to enter into talks.