Hutchison Whampoa Ltd. ADR (HUWHY) - OTCPK - Current
  • Mon, Apr. 25, 12:46 PM
    • The European Commission is set to block the £10.3B (about $14.9B) purchase of O2 (TEF -0.7%) by Hutchison (OTCPK:HUWHY), a deal that would have created the UK's biggest wireless carrier, Reuters reports.
    • The deal would have merged Telefonica's O2, the No. 2 provider in the country, with Hutchison's Three UK, the fourth-largest. But the result would have been the top carrier and reduced the market to three competitors, facts that came to bear for Margrethe Vestager, head of the EC's Competition Commission.
    • Tricky concessions offered by the two, including divestments, weren't enough to address fears, sources said.
    • Last week as prospects for the deal seemed to dim, Telefonica acknowledged it was looking at a few alternate plans to try to cut a debt pile that amounts to more than $56B.
    • Now read Telefonica Dividend Reliant On EU Politics Following Mixed Q4 2015 Results »
    | Mon, Apr. 25, 12:46 PM
  • Thu, Apr. 21, 3:49 PM
    • VimpelCom (VIP -1.7%) and Hutchison (OTCPK:HUWHY) have an extension to finish a slowgoing merger of their Italian operations, to Aug. 18.
    • The companies asked for more time to combine Wind Telecomunicazioni (VimpelCom's unit) and Three Italia (Hutchison's).
    • The combo, which would merge the No. 3 and No. 4 mobile operators in Italy, s getting a hard look from European competition regulators.
    • Meanwhile, VimpelCom priced $1.2B in bonds in two tranches -- $500M in 6.25% senior notes due 2020, and $700M in 7.25% senior notes due 2023.
    • That offering should settle on Tuesday; proceeds will be used for general purposes.
    • Now read Russian Telecoms: Perspectives And Ideas For 2016 »
    | Thu, Apr. 21, 3:49 PM
  • Tue, Apr. 19, 12:39 PM
    • With a sale of its UK mobile unit O2 to Hutchison (OTCPK:HUWHY) at risk, Telefonica (TEF +3%) is now considering a few "plans B" to reduce heavy debt.
    • That includes trying to merge O2 with another company with mobile interests, like Liberty Global (NASDAQ:LBTYA) or a private-equity buyer, or even spinning it into a British IPO, Bloomberg reports.
    • A deal of about £10.3B ($14.6B) to combine O2 with Hutchison's Three UK would go a long way toward cutting €49.9B ($56.5B) in debt. And Telefonica still prefers that as the "cleanest" option to reduce investor uncertainty.
    • The deal's at risk while Hutchison considers even more concessions, as the EC reportedly prefers the creation of a fourth operator in the UK out of the transaction, rather than simply reinforcing smaller MVNOs. Hutchison may be prepared to go to court instead, saying unloading a (changed) O2 or Three to someone else undermines the rationale for the combination.
    • Now read Telefonica Dividend Reliant On EU Politics Following Mixed Q4 2015 Results »
    | Tue, Apr. 19, 12:39 PM
  • Mon, Apr. 11, 10:05 AM
    • UK regulators are taking a hard line on the proposed merger between telecoms Three UK (OTCPK:HUWHY) and O2 (TEF +1%), expressing serious concerns to European watchdogs about what a combo might mean to the UK market.
    • The UK Competition and Markets Authority's chief executive Alex Chisholm has told Margrethe Vestager, head of the EC's Competition Commission, that the merger is likely to lead to higher prices, lower quality or both.
    • Today the CMA suggested that either Three's or O2's mobile network business be divested completely or for the companies to allow for carve-outs.
    • Hutchison's proposal to merge its No. 4 provider with O2, the country's No. 2, would create the UK's largest carrier and reduce the market to three competitors. The UK asked to take over the deal investigation, but in December, the EC (which had opened a full probe) rejected that request.
    • In early March, Hutchison headed into closed-door meetings with the EC to discuss how to make the deal happen.
    • Now read Telefonica Dividend Reliant On EU Politics Following Mixed Q4 2015 Results »
    | Mon, Apr. 11, 10:05 AM | 1 Comment
  • Thu, Apr. 7, 2:54 PM
    • The long-in-the-making merger of Italy's No. 3 and No. 4 mobile operators is getting a hard look for antitrust concerns at the European Commission, CTFN says.
    • Wind Telecomunicazioni -- the Italian unit of Vimpelcom (VIP -3%) -- and Hutchison's (OTCPK:HUWHY) Three Italia submitted remedies to the EC, but beyond that a source says the commission will make sure there's a third party who's interested in acquiring divested frequencies.
    • Failing that, the combo could be blocked. The EC had opened a full probe into the tie-up last week after rebuffing an effort from Italy's government to take over the review.
    • The EC is concerned about "higher prices, less choice and reduced innovation for mobile customers in Italy."
    • Now read Russian Telecoms: Perspectives And Ideas For 2016 »
    | Thu, Apr. 7, 2:54 PM
  • Wed, Mar. 30, 4:46 PM
    • The European Commission has opened an in-depth probe into the deal to merge Italian operations between Hutchision (OTCPK:HUWHY) and VimpelCom (NASDAQ:VIP), with a focus on the effect it will have on consumer prices.
    • The long-discussed combination of Hutchison's Three Italia with VimpelCom's Wind Telecomunicazioni "could lead to higher prices, less choice and reduced innovation for mobile customers in Italy," the EC says.
    • The two companies will cooperate with the investigation into a deal that would reduce Italy's market to three players and create its biggest mobile carrier by subscriber numbers.
    • The news follows a stronger line by the EC on Hutchison's plan for its takeover of O2 in the UK as well. The EC will take 90 days to examine the Three-Wind deal, with an Aug. 10 deadline to decide on the deal.
    • Previously: EC reportedly reviewing remedies to enable Italy telecom merger (Mar. 22 2016)
    • Previously: Italian regulators ask EC to transfer review of €21.8B telecom merger (Feb. 26 2016)
    | Wed, Mar. 30, 4:46 PM
  • Tue, Mar. 22, 12:03 PM
    • The European Commission is reviewing remedies proposed by VimpelCom (NASDAQ:VIP) and Hutchison Whampoa (OTCPK:HUWHY) to enable their long-awaited merger of Italy operations, CTFN reports.
    • The companies' Italian units -- VimpelCom's Wind Telecomunicazioni and Hutchison's Three Italia -- agreed to a 50-50 combination in a €21.8B deal last August after lengthy talks. The combination would surpass Telecom Italia's TIM and Vodafone in total customers.
    • The EC was set to issue a preliminary decision earlier this month but extended its deadline to March 30 as it discusses commitments from the carriers, including frequency divestment, to make the deal happen.
    • No price controls are likely to come in at an end-user level, a source tells CTFN, but some restrictions may come at the wholesale level -- welcome news for the country's MVNOs, which buy and re-sell service.
    | Tue, Mar. 22, 12:03 PM
  • Tue, Mar. 1, 4:58 PM
    • Hutchison (OTCPK:HUWHY) is headed to a closed-door meeting with EU regulators to address objections to its £10.3B deal to buy out rival telecom O2 (TEF +4.3%), Reuters reports.
    • The company will meet with the European Commission on March 7, along with rivals Sky (OTCQX:SKYAY +2.4%), Virgin Media (LBTYA +2.8%), TalkTalk (OTC:TKTCY), Vodafone (VOD +3.1%) and BT Group (BT +3.4%). Iliad (OTCPK:ILIAY +2.5%), the small provider owned by French billionaire Xavier Niel, could also take part.
    • The long-in-the-works deal has generated plenty of heat, as the combination of Hutchison's Three UK (the country's No. 4 wireless provider) with Telefonica's O2 (the No. 2 provider) would create the country's largest, reducing the market to three major competitors.
    • When the EC opened a full probe into the deal in October, the move suggested that heavy concessions were likely on the way to make the deal happen -- and they may include creating a smaller competitor. (TalkTalk has said it would love to help.)
    • The UK tried to take over the probe, but the EC rejected that request and kept control of the deal investigation in early December.
    • After hours: TEF -4.2%; LBTYA, VOD, BT flat.
    • Previously: Europe rejects UK's effort to examine Three's O2 buyout (Dec. 04 2015)
    • Previously: Europe opens full probe into Telefonica-Hutchison UK mobile merger (Oct. 30 2015)
    | Tue, Mar. 1, 4:58 PM
  • Fri, Feb. 26, 11:28 AM
    • Italy's antitrust authority is asking the EC to let it handle a review of Hutchison's (OTCPK:HUWHY) €21.8B deal to merge its Three Italia telecom unit with Wind Telecomunicazioni, the local subsidiary of Vimpelcom (VIP +0.8%).
    • The regulator has asked for the case to be transferred though the EC is in a current review.
    • The EC had rebuffed a similar request from Germany's competition authority regarding a consolidation plan between Telefonica and KPN, saying it was in a better position and needed to ensure consistency in telecom mergers.
    • As it considers Italy's request, the EC has extended its preliminary investigation into the Three/Wind deal to March 30, from March 11.
    • Previously: Italy declining to veto merger of VimpelCom, Hutchison units (Sep. 23 2015)
    | Fri, Feb. 26, 11:28 AM
  • Mon, Feb. 22, 2:52 PM
    • Deutsche Telekom (OTCQX:DTEGY +2.1%) has a unique new project on the way: A smartwatch based on a tie-up with musician will.i.am (a k a Black Eyed Peas frontman William Adams).
    • The watch -- called "dial" -- will be targeted to European countries and mostly voice controlled, with an understandable focus on music.
    • It will have a SIM card embedded, differentiating it from competitors whose watches depend on a smartphone connection.
    • DT has an exclusive in some European countries where it already has a presence. Will.i.am has a similar deal with U.K. carrier Three (OTCPK:HUWHY), but no such arrangement with Deutsche Telekom's U.S. unit, T-Mobile (TMUS +1.8%).
    | Mon, Feb. 22, 2:52 PM | 1 Comment
  • Tue, Jan. 26, 3:34 PM
    • French billionaire Xavier Niel is considering creating a new mobile operator in the UK by moving in with his Iliad carrier (OTCPK:ILIAY -1%) -- but that could be a tough battle with a strong domestic market.
    • He's approached regulators to see about acquiring assets that would be divested as part of the £10.25B merger between Three UK (OTCPK:HUWHY) and O2 (NYSE:TEF), the Financial Times reported.
    • And while the EC might welcome new competition, the UK marketplace has tightened considerably. In addition to its four (soon to be three) carriers, it supports a number of virtual network operators like Virgin Media and niche players, which might be a roadblock for an offer like Iliad's low-cost Free Mobile unit in France.
    • Niel wouldn't be the only one hunting assets divested in the merger, either. Sky (OTCQX:SKYAY) is working on its own MVNO and could present bidding competition.
    | Tue, Jan. 26, 3:34 PM
  • Dec. 4, 2015, 11:33 AM
    • The European Commission has rejected the UK's request to examine the combination of Three UK and O2, proposed to create Britain's biggest mobile operator.
    • UK antitrust authorities had argued they were in a better position to probe Hutchison Whampoa's (OTCPK:HUWHY) £10.3B bid to combine its Three unit with Telefonica's (TEF -1.2%) O2.
    • "The Commission concluded that, given its extensive experience in assessing cases in this sector, it was better placed to deal with the transaction and ensure consistency in the application of merger control rules in the mobile telecommunications sectors across the European Economic Area," said an EC official.
    • Previously: UK delays spectrum auction to allow for Three/O2 merger (Dec. 03 2015)
    | Dec. 4, 2015, 11:33 AM
  • Dec. 3, 2015, 11:28 AM
    • UK telecom regulator Ofcom is delaying its next spectrum auction, leaving time for the European Commission to weigh in on the merger of Three UK (OTCPK:HUWHY) and O2 (TEF +1.1%).
    • The two firms had asked Ofcom for the delay of the sales of airwaves in the 2.3 GHz and 3.4 GHz bans, which the regulator says it's undertaking for "reasons of good public administration."
    • Plans were to start the auction process this month and execute the sales in early 2016; with the EC expected to rule on Three/O2 by mid-May, the auction may be delayed to later next year. It has a reserve price of £70M (about $105M).
    • At October's end, the EC opened a full probe into the merger, which would create Britain's biggest mobile operator.
    • Previously: Europe opens full probe into Telefonica-Hutchison UK mobile merger (Oct. 30 2015)
    | Dec. 3, 2015, 11:28 AM
  • Nov. 11, 2015, 1:22 PM
    • At an investment conference in Barcelona, Telefonica (TEF +1.1%) finance chief Angel Vila reaffirmed the company's commitment to staying in the Mexican market and even floating public shares for its unit there.
    • "We have been in Mexico for so many years, investing so much money, and now that it's starting to fly and make money, it would be strange for us to leave now," he said. "It's a growing business that could be attractive for an initial public offering."
    • Telefonica this week received a record fine of 410.9M pesos (about $25M) over call quality at its Pegaso wireless unit. Telefonica's market share in Mexico is about 20% -- well behind the 70% of America Movil, the initial target of newly tough Mexican regulations.
    • Vila expressed confidence that the company's sale of its UK unit, O2, to Hutchison (OTCPK:HUWHY) would go forward despite a tougher regulatory regime in the EU as well: "We're optimistic because Hutchison has experience in negotiating other deals with (the European) Commission ... Also we think that Hutchison is quite keen in achieving the transaction that will allow them to be in a much better competitive position in the UK market."
    • Previously: Mexico imposes record fine on Telefonica unit over quality controls (Nov. 09 2015)
    | Nov. 11, 2015, 1:22 PM
  • Oct. 30, 2015, 2:44 PM
    • As signaled previously, the European Commission is opening a full probe into Hutchison Whampoa's (OTCPK:HUWHY) £10.3B bid for O2, the UK wireless division of Telefonica (NYSE:TEF).
    • The move likely means concessions are on the way in the long-simmering deal, though they may be complicated. The combination of O2 with Hutchison's Three UK would make Britain's biggest mobile network operator out of the second- and fourth-biggest respectively.
    • Antitrust Commissioner Margrethe Vestager says with the probe that "we want to ensure that consumers in the U.K. do not pay higher prices or face less choice as a result of this proposed takeover." Vestager has shown a harder line than her predecessor, which led to Telenor and TeliaSonera calling off a plan to merge Danish operations.
    • The full review may last about five months.
    • Previously: Reuters: Europe set for long antitrust review of UK mobile merger (Sep. 18 2015)
    | Oct. 30, 2015, 2:44 PM
  • Sep. 23, 2015, 5:54 PM
    • Italy's government won't stand in the way of the merger between VimpelCom's (NASDAQ:VIP) Wind Telecomunicazioni and Hutchison's (OTCPK:HUWHY) Three Italia, it said in agreeing not to exercise a veto right.
    • It is asking the companies for more information about the combination and its plans as regards national security and service continuity, however.
    • The €21.8B deal still requires regulatory approvals -- including from a newly tough regime led by Europe's competition commissioner Margrethe Vestager. The merger has more likelihood of success, with three roughly equal players remaining in the Italian market, than the recent aborted tie-up in Denmark between Telenor and TeliaSonera.
    • Previously: VimpelCom up 3.8% as it forges $24B Italy merger with Hutchison (Aug. 06 2015)
    | Sep. 23, 2015, 5:54 PM
Company Description
Hutchison Whampoa Limited (HWL) is a renowned multinational conglomerate committed to innovation and technology.
Sector: Financial
Industry: Diversified Investments
Country: Hong Kong