By Foo Yun Chee and Mathieu Rosemain

BRUSSELS/PARIS, July 4 (Reuters) - CK Hutchison Holdings and Vimpelcom are in exclusive talks with Iliad to create a fourth Italian telecoms network operator in a bid to win antitrust approval to merge their mobile operations in the country, two people familiar with the matter said on Monday.

Iliad and Swisscom's Fastweb had competed to take up Hutchison's offer of frequencies and infrastructure assets, sources said.

The European Commission will have the final say on whether Iliad can compete effectively with the other three network operators, including Telecom Italia.

Hutchison may be told of the EU's decision by the end of the week, one of the sources said.

A spokeswoman for Iliad was not immediately available to comment.

(Reporting by Foo Yun Chee in Brussels and Mathieu Rosemain in Paris; Editing by Laurence Frost)