Deal with MPT could disconnect Hong Kong Telecom

Article Abstract:

China Telecom, a subsidiary of China's Ministry of Posts and Telecommunications (MPT), will acquire a 5.5% stake in Hong Kong Telecommunications Ltd. from Cable and Wireless PLC (C&W) for HK$9.18 billion (US $1.19 billion). The deal will reduce C&W's stake in Hong Kong Telecom to about 53.5%, and is the initial step towards the plan of C&W and MPT to each have about 29% stake in Hong Kong Telecom. The deal gives C&W access to China's cellular phone market, while MPT will take a big equity position in Hong Kong Telecom for a small sum. Hong Kong Telecom, however, is not likely to see any significant business expansion as a result of the transaction.

Regulation and Administration of Communications, Electric, Gas, and Other Utilities, Telecommunications Regulation, Mergers, acquisitions and divestments, Telecommunications regulations, Investments, China Telecom (Hong Kong) Group Ltd., China. Ministry of Posts and Telecommunications

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A buzz on the phone line

Article Abstract:

Hong Kong Telecommunications Ltd's share price increased following China United Telecommunications Corp's (Unicom) announcement of its intention to buy a stake in Hong Kong Telecom. Hong Kong Telecom, which is 59%-owned by London-based Cable and Wireless PLC, saw a 5.6% increase in its share price to HK$15 a share after the announcement. Hong Kong Telecom's investors welcomed the news as Unicom will help ensure the continued dominance of Hong Kong Telecom in the former British colony. A powerful mainland partner such as Unicom could also allow for the full entry of Hong Kong Telecom in mainland China's market.

Planning, Hong Kong, China United Telecommunications Corp.

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Rumors about Hongkong Telecom swirl in wake of moves at Cable and Wireless

Article Abstract:

The resignation of Cable and Wireless PLC Chmn. Lord Young and CEO James Ross fueled speculations on Hong Kong Telecommunications (HT) stocks. Cable and Wireless owns 57% of HT, and traders eagerly sought HT stocks, which raised prices to 12.80 Hong Kong dollars by the end of Nov. 1995. Another rumor is that shares of HT will be sold to a Chinese company.

Telecommunications, Telephone Communication

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