Date set for Hutch Essar vote

Hutchison Telecommunications International (HTIL) said Wednesday it has set a date of March 9 for shareholders to vote on the $11.1bn sale of its 67 per cent interest in Indian operator Hutchison Essar to Vodafone.

The deal implies an enterprise value of $18.8bn for 100 per cent of the Indian operator.

Upon completion of the deal, HTIL said it expects to realise an estimated pre-tax gain of approximately $9.6bn.

The transaction is expected to result in a net cash inflow to HTIL of approximately $11bn.

On Monday it emerged that India’s Essar Group, which holds 33 per cent of Hutch Essar, wants to run the mobile operator in a partnership of equals with Vodafone.

The Indian conglomerate issued a statement late Friday in which it said it sees Hutch Essar “as a core part of its business portfolio for the long term” and “has no intent to exit the company”.

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