Hutchison Telecommunications Hong Kong Holdings logo

215 - Hutchison Telecommunications Hong Kong Holdings News Story

HK$1.25 -0.0  -1.6%

Last Trade - 07/08/20

Sector
Telecoms
Size
Mid Cap
Market Cap £591.3m
Enterprise Value £101.8m
Revenue £547.9m
Position in Universe 1043rd / 5983

UPDATE 1-Saban says to give up controlling stake in Israel's Partner Comms

(Adds shares reaction, background)
    JERUSALEM, Sept 23 (Reuters) - U.S.-Israeli media magnate
Haim Saban on Monday said he would give up control in Israeli
mobile phone operator Partner Communications  PTNR.TA  after
failing to secure better terms on a loan he used to pay for the
stake.
    Saban bought a 30% stake in Partner, Israel's second-largest
mobile operator, from Scailex in 2013 using a $300 million loan
from Hong Kong conglomerate Hutchison Whampoa  0215.HK . 
    Repayment is due in January 2020 and Saban had used his
holdings in Partner as collateral for the loan.
    In a filing with the U.S. securities regulator, Saban said
his company, SB Israel Telecom, had been in discussions with
debt owners regarding the loan's terms.
    "At this time, it is unlikely that any agreement will be
reached between SB and the lenders, and the lenders may exercise
their rights," it said.
    The value of Saban's holdings in Partner  PTNR.O  have slid
to 733 million shekels ($209 million), less than the amount of
the loan. Partner's market value stands at 2.4 billion shekels.
    Partner's shares were up 0.2% in afternoon trade in Tel Aviv
after a 2.7% drop on Sunday when Israeli media first reported
Saban's intent to give up his holdings. Its shares are down 20%
so far in 2019.
    Hutchison founded Partner in the late 1990s and sold its
stake to Scailex in 2009 before Scailex sold it to Saban.
    Like its peers, Partner's revenue and profit have plunged in
the wake of a 2012 reform that opened the mobile market to new
players, sharply reducing prices. It is seeking new revenue
streams such as a new TV service and pushing to widen its
offering beyond its core mobile serviecs.
    
    
    ($1 = 3.5130 shekels)

 (Reporting by Steven Scheer; Editing by Tova Cohen and Deepa
Babington)
 ((steven.scheer@thomsonreuters.com; +972 2 632 2210; Reuters
Messaging: steven.scheer.thomsonreuters.com@reuters.net;
Twitter: @StevenMScheer))
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