Tuesday, August 11, 2009

Hutchison Telecom to Sell its Stake in Israel's Partner Comm.

Hutchison Telecommunications will sell its entire 51.3% equity interest in Partner Communications, a mobile operator in Israel operating under the Orange brand, to Scailex Corporation Ltd., an Israeli company listed in the Tel Aviv Stock Exchange, for approximately US$1,381 million or HK$10,706 million. The purchase price is comprised of cash of approximately US$1,081 million or HK$8,381 million and a secured debt instrument of US$300 million (approximately HK$2,325 million).

Canning Fok, Chairman of Hutchison Telecom said: "This transaction brings to realization the significant value that we have created in Israel. We are proud to have built Partner into a respected and valuable company and we believe this is the right time to monetize the gain from our investment for the benefit of the Company and its shareholders. I thank the management team and all the staff at Partner for their dedication and hard work throughout."

Going forward, Hutchison Telecom said it will pursue a strategy of becoming a leading mobile operator in emerging markets and focusing on developing its existing operations in Indonesia, Vietnam and Sri Lanka.

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