O2 Czech Republic will be divided into a fixed-line and infrastructure businesses, and another based on mobile connections, according to local newspaper sources.
If the split occurs, the company could be free from regulation because of its monopoly in the fixed-line business.
PPF bought a majority stake in O2 Czech Republic, after its billionaire owner Petr Kellner acquired the company from Spanish group Telefónica in January and it now owns 73.1% after a mandatory buyout.
O2 Czech Republic and parent company PPF both reportedly declined to comment.
