PCCW to make offer to buy out Sunday’s assets

27 Sep 2006

PCCW plans to make an offer to buy all of the operational assets of its 79%-owned mobile subsidiary Sunday Communications, according to the South China Morning Post citing unnamed sources. In December 2005 the Hong Kong fixed line and broadband market leader fell short in its attempt to buy out all of Sunday’s minority shareholders, but says the purchase of all the cellco’s infrastructure and related assets will only require approval from a majority of independent shareholders, rather than the 90% required for a complete takeover. Should PCCW succeed in buying Sunday’s assets, it might revive a formal buyout offer for the company, the source told the paper. Sunday’s shareholders include Huawei Technologies, which holds around 10%.