Hutchison to spin off business to offset 3G losses

1 Sep 2003

Hutchison Whampoa has announced that it is to spin off its four Indian joint venture cellcos and Hong Kong fixed line businesses in an attempt to reduce the impact of its 3G gamble on its profit and loss account. Unlike many of its rivals Hutchison has so far refused to take any substantial one-off write-downs on its 3G losses in Europe and Australia, which are predicted to reach HKD6 billion (USD769 milion) by next year. The group’s Indian holdings, likely to be listed early next year, should yield around HKD1 billion for Hutchison, whilst its Hong Kong wireline holding is predicted to bring in half that amount.

Hong Kong