PCCW deal exposes family r

The sale of a controlling stake in Hong Kong operator PCCW has exposed something of a family feud, according to press reports on Thursday.

Richard Li, the chairman of PCCW, is said to be unhappy following the revelation that his father and tycoon Li Ka-shing is backing the consortium set to buy the 22.7 per cent stake.

Earlier this month it emerged that financier Francis Leung had involved Telefonica and two charitable foundations, Li Ka-shing Foundation and Li Ka-shing Canada Foundation in the deal without Richard Li’s knowledge.

Some reports go so far as to suggest that Richard Li is now encouraging minority shareholders to scupper the deal as he can no longer vote on the matter due to his father’s involvement.

But it seems unlikely that the deal will be rejected as it has been said that Leung’s decision to involve Li Ka-shing indicates a lack of other potential buyers.

Shareholders are expected to vote on the deal on November 30.


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