Hutchison

Hutchison plans to delist from HKSE on May 25 (Hong Kong)

On 03.16.10, In Mobile, By Editor

www.WirelessFederation.com/news: Delisting from the Hong Kong Stock Exchange has been planned by Hutchison Telecommunications Ltd. on May 25. The company is also planning to delist itself from the New York Stock Exchange on June 4.

The moves will be implemented if parent company Hutchison Whampoa Ltd gets approval from a local court and shareholders to take the telecom services provider private for US$545 million.

Hutchison Whampoa and Hutchison Telecom will hold an extraordinary general meeting on the plan May 12, after a court meeting.

According to Hutchison Whampoa, a conglomerate controlled by billionaire Li Ka-shing, in January it had offered to take 60.4%-owned unit Hutchison Telecom private for HK$2.20 a share, to gain more control over how to restructure unprofitable telecom assets.

Vodafone gives final submission in Indian $2 billion tax demand

On 03.15.10, In Mobile, By Editor

www.WirelessFederation.com/news: The final part of the submission expressing why Vodafone should not be held liable for a US$2 billion tax demand following its takeover of India’s Hutchison Essar in 2007 has been submitted by the company. A demand had been asked by the Indian government on the US$11.2 billion deal.

It was being argued that under Indian law, it is the buyer who pays transaction taxes, not the seller and that the jurisdiction that the transaction took place is irrelevant when relating to assets largely held in India.

Reply with 23 annexure had been given by Vodafone on January 29, 2010. The final reply was made on March 12, 2010 with a 24th annexure. According to a company’s spokesperson, Vodafone is confident that no tax is payable on this transaction and all of the taxation and legal advice the company has received remains consistent with this view.

The entire share capital of CGP Investments (Holdings) Ltd, a Cayman Islands based company from Hutchison International (HTIL) was acquired by Vodafone International Holdings BV, a company registered in the Netherlands. CGP, itself, owns 52 per cent stakes in Hutchison India.

Tagged with: ASIA • Cayman Islands • Essar • Hutchison • Hutchison Essar • India • Netherland • Netherlands • Vodafone

Hutchison Telecom’s customer base reaches 12.8m

On 03.05.10, In Mobile, By Editor

www.WirelessFederation.com/news: With an annual growth of approximately 98% on a like-for-like basis, 6.3 million customers has been added by Hong Kong based Hutchison Telecom, taking its customer base to approximately 12.8 million. The relaunch of the operators business in Vietnam and ongoing expansion of the network coverage in Indonesia paved the way for this massive expansion in the subscribers’ numbers.

Larger Indonesia operation and the revenue generated by the newly launched GSM services in Vietnam led to the rise in the revenue by 2.7% year-on-year to US$239 million. With the disposal of the Group’s entire indirect stake in Israel’s Partner Communications, ¬the net profit for the year increased from US$239 million to US$817 million.

According to Dennis Lui, Chief Executive Officer of Hutchison Telecom, 2009 saw the Group unlock significant shareholder value again and the company has created, maximized and delivered value for its shareholders over the five years since listing – an achievement that has been based on pursuing carefully chosen opportunities with a measured approach. Mr. Lui also revealed that Hutchison will continue to work on building out its principal growth markets to a fully competitive state.

Hutchison Whampoa, a majority shareholder in the company is currently in the process of being taken off the stock market.

Tagged with: ASIA • GSM • Hong Kong • Hutchison • Hutchison Telecom • Hutchison Whampoa • Indonesia • Israel • operator • Partner Communications • Vietnam

EC conditionally approves Orange UK/T-Mobile UK merger

On 03.03.10, In Mobile, By Editor

www.WirelessFederation.com/news: The recent speculations regarding the grant of conditional approval for the merger between the UK subsidiaries of France Telecom and Deutsche Telekom has been confirmed by the European Commission (EC).

Under the conditions for the deal, Orange UK and T-Mobile UK are required to enter into a joint network sharing agreement with Hutchison 3G UK in order to ‘ensure there remains sufficient competitors in the market’.

A quarter of combined spectrum in the 1800MHz band is also required to be sold by the new enlarged company.

However, consumer rights groups have opposed the approval citing it to be too quick and without the involvement of the UK regulator.

Tagged with: 3G • Deutsche Telekom • Europe • European Commission • France Telecom • Hutchison • merger • Orange UK • T-Mobile • UK

Hutchison’s 3 drops objection to Orange, T-Mobile merger (UK)

On 02.23.10, In Mobile, By Editor

www.WirelessFederation.com/news: After receiving assurances of continuing to have access to cellular networks, one objection has been dropped by Hutchison Whampoa Ltd.’s 3 mobile- phone unit to the merger of Deutsche Telekom AG and France Telecom SA’s U.K operations.

The number of mobile-phone towers will be increased as a result of the agreement which can be used by 3, the U.K.’s smallest mobile-phone operator. France Telecom and Deutsche Telekom can also win regulatory approval to combine their Orange and T-Mobile units with the help of this agreement, thus creating the U.K.’s biggest mobile operator.

Failure to secure continued access to T-Mobile networks would also mean that 3 would “have a much tougher time” competing in the U.K. market.

Tagged with: Deutsche Telekom • Deutsche Telekom AG • Europe • France Telecom • Hutchison • Hutchison Whampoa • operator • Orange • T-Mobile • U.K.

Hutch Australia reports rise in net profit

On 02.22.10, In Mobile, By Editor

www.WirelessFederation.com/news: A net profit of A$467.7 million ($421.3 million) has been posted by Hutchison Telecom Australia (HTAL), thanks to its merger with Vodafone Australia. A$587.3 million profit gain acted as a catalyst to bring the company from the red, as without HTAL would have posted a net loss of A$119.6 million.

According to VHA CEO Nigel Dews, VHA [Vodafone Hutchison Australia] is on-track to realize cost benefits outlined on announcement of the merger, which the company expects to equate to A$2 billion of net present value once fully realized.

The underlying net customer growth is 890,000 customers, while the total VHA revenue attributable to HTAL increased by 25.7% to A$2 billion.

Tagged with: Australia • Hutch • Hutchison • Hutchison Australia • Net Profit • Vodafone • Vodafone Australia

Vodafone-Hutchison shows strong growth

On 02.20.10, In Mobile, By Editor

www.WirelessFederation.com/news: A record growth has been managed by Vodafone Hutchison in the second half of last year despite the Hutchison Telecommunications-Vodafone merger still being a work in progress. 584,000 new customers in the December half were gained by the company out of which 30 per cent were mobile broadband subscriptions.

According to Vodafone Hutchison Australia chief executive Nigel Dews, 40 per cent of new subscribers were getting smartphones, which was driving a boom in data use and 1.39 million VHA customers are now using broadband on their mobile phones, modems and data cards linked to other devices.

The merged customer base was just short of 6.9 million subscribers at the end of last year.

Tagged with: Australia • Hutchison • Hutchison Australia • Hutchison Telecommunication • Vodafone • Vodafone Hutchison

Vodafone given time till March 12 to reply to Indian tax dept

On 02.18.10, In Mobile, By Editor

www.WirelessFederation.com/news: Vodafone Group Plc has been given time until March 12 to respond to the second attempt of the Indian tax department to examine if its acquisition of Hutchison Essar Ltd falls within the tax jurisdiction of Indian authorities.

The dispute arose after $11.2 billion (Rs51,500 crore) was paid by Vodafone for a 67% stake in Hutchison Essar (since renamed Vodafone Essar Ltd) in 2007 and the deal was approved by the government in May the same year.
According to the tax department, the Cayman Islands transaction was essentially a transfer of an Indian asset and Vodafone should have deducted tax at source when it paid Hutchison.

Consequently, in 2007 itself a show- cause notice was slapped on the company by the tax department asking why it had not done this and it was after this that the company approached the courts.

Tagged with: Acquisition • ASIA • Cayman Island • Essar • Hutchison • Hutchison Essar • India • Vodafone

10,000th 3G site deployed by 3 UK

On 01.29.10, In Mobile, By Editor

www.WirelessFederation.com/news: 10,000th 3G site has been activated by British mobile network operator Hutchison 3 UK this week with the connection of the 10,000th site in Shooters Hill, South-East London. The huge number is the result of the improved coverage provided to the existing customers besides the introduction of the service to new communities.

With the addition of the 10,000th site, the 3G population coverage in UK reached nearly 93% and there are hopes that the number of connection will reach 13000 this year.

The network roll out is accompanied by a new consumer-friendly policy designed to better advise people of their coverage opportunities and resolve issues if customers find they do not have coverage at home.

Through the Mobile Broadband Network Limited joint venture, 3 UK is in the process of consolidating its 3G network infrastructure with T-Mobile.

Tagged with: 3G • Europe • Hutchison • Joint Venture • London • operator • T-Mobile • UK

Next G price overhauled by Telstra

On 01.15.10, In Mobile, By Editor

www.WirelessFederation.com/news: In a bid to keep its arch rivals, Optus and Vodafone Hutchison Australia at bay, the pricing structure of the Next G mobile broadband service of Telstra has been overhauled. The new pricing will be implemented on January 18.

The monthly data allowance of A$29.95 ($27.83) per month entry-level Next G plan to 400MB has been doubled by Australia’s largest mobile operator. A$20 a month off its A$59.95 a month plan offering 1GB of data as also been shaved by the company besides abolishing charges for excess data usage.

Even after the overhaul, the standalone packages of Next G’s will still not be as attractive as those of its rivals. For instance, 2GB of data for A$25 with a 12 month contract is offered by Optus.

According to Ovum’s Australian mobile analyst, Nathan Burley, Telstra has introduced bundled discounts where a customer gets A$10 off their mobile broadband service if they have one other service with Telstra. The discount increases to A$20 if the subscriber has two other services with Telstra.

Besides, the company also has coverage and speed compared with its two mobile broadband rivals.

Tagged with: Australia • Hutch • Hutchison • Mobile Broadband Service • North America • operator • Telstra • USA • Vodafone