Two private equity groups submit bids for Hutchison fixed-line unit -sources

Wharf Holdings

18/07/2017 06:20

HONG KONG, July 18 (Reuters) - A consortium of private 
equity firms TPG Capital Management LP  TPG.UL  and MBK 
Partners, and investment manager I Squared Capital Advisors LLC 
have put in separate bids for the fixed-line phone unit of Hong 
Kong's richest man, Li Ka-Shing, said people involved in the 
matter.  
    Hutchison Global Communications Ltd (HGC), a unit of 
Hutchison Telecommunications Hong Kong Holdings Ltd  0215.HK , 
provides a range of fixed-line telecommunications services in 
Hong Kong and overseas for corporate and residential users. 
    HGC, which had earnings before interest, tax, depreciation 
and amortisation (EBITDA) of $161 million in 2016, is likely to 
be valued at $1.2 billion to $1.5 billion, three people told 
Reuters. 
    A final decision on the sale process is likely to be taken 
by HGC as soon as next week, said the people, who requested  
anonymity because the transaction details have not been released 
publicly. 
    Representatives for MBK and HGC declined to comment. TPG and 
I Squared Capital did not immediately respond to requests for 
comment. 
 
 (Reporting by Sumeet Chatterjee and Prakash Chakravarti; 
Additional reporting by Kane Wu, Carol Zhong and Elzio Barreto; 
Editing by Christopher Cushing) 
 ((sumeet.chatterjee@thomsonreuters.com; +852-2847 2094; Reuters 
Messaging: sumeet.chatterjee.thomsonreuters.com@reuters.net)) 
 
Keywords: HUTCHISON M&A/TELECOMS