Hutchison has confirmed that it is in “advanced discussions” about a possible spin-off of its Hong Kong and Macau fixed line and mobile telecommunications businesses, but said that it hasn’t yet reached a decision. The clarification announcement (PDF) was in response to a report in the South China Morning Post. The spin-off and listing of the companies would involve a distribution in specie not involving any raising of new capital. Some investment bankers have suggested that Hutchison could raise about HK$2 billion ($256 million), with the entire business being worth HK$12 billion ($1.54 billion) reports Reuters.
Hutchison recently merged its Australian operations with that of Vodafone.