The listing is part of a global offering and the press in Hong Kong has speculated that as much as 30% of the stock will be listed, giving the company a total value of around $6 billion.
Hutchison Telecommunications is part of the Hutchison Whampoa conglomerate and the sale, in part, will help fund the losses of its separate 3G operation which lost HKD 8.9 billion ($1.1 billion) in the first half of the current financial year on revenue of HKD 3.7 billion ($475.3 million). All the money raised by the share sale will go to the parent.
By contrast, Hutchison Telecommunications broke into the black in the first half of its current year with net income of HKD 539 million ($69 million) on revenue of HKD 6.9 billion ($883 million).
The company has been growing rapidly and in its last full fiscal year to December 31, 2003, it lost HKD 214 million ($27.4 million) on revenue 32% higher at HKD 10.1 billion ($1.29 billion).
The company’s main operations are in Hong Kong, India and Israel, though it also has interests in Sri Lanka, Paraguay and Ghana. In the first half of this year Hong Kong fixed and mobile operations accounted for 43.2% of revenue and India 46.5%.
