|Hutchison Telecommunications International Limited ( HTX )|
|Written by Editor|
|Wednesday, 12 November 2008 11:28|
Hutchison Telecom Declares a Special Cash Dividend of HK$7 Per Share Payable on Dec. 2, 2008
Hutchison Telecommunications International Limited ("Hutchison Telecom", the "Company", SEHK: 2332; NYSE: HTX) today announced that the Board has declared a special cash dividend of HK$7 per share or approximately US$13.55 per ADS (Note), totalling approximately HK$33.7 billion (or approximately US$4.35 billion).
As previously announced, the Company has maintained its cash balance to fund any acquisition opportunities which may arise. In view of the lack of suitable new opportunities, the Board has decided that the special distribution best maximises shareholder value. Accordingly, the Board has declared a special cash dividend of HK$7 per share or approximately US$13.55 per ADS payable on 2 December 2008 respectively to shareholders of record on 28 November 2008 and ADS holders of record on 25 November 2008.
Dennis Lui, Chief Executive Officer of Hutchison Telecom said: "In the last 18 months no acquisition opportunity has met our investment criteria. We are pleased that the Board approves our recommendation for a special cash dividend in 2008."
"We have sufficient resources on hand to cover our operational requirements in the short term. In the medium term, we will obtain additional funding as needed and in this connection our parent company Hutchison Whampoa has committed to provide us with a US$2,500 million medium term facility," said Mr Lui.
Hutchison Whampoa's offer is to provide a US$2,500 million secured medium term revolving facility at 2.45% p.a. above US$LIBOR interest rate and on other normal commercial terms. This offer is open for acceptance by the Company up to 31 December 2008. Such acceptance by the Company will be made subject to independent shareholders' approval.
Qualifying ADS holders will receive their dividend in United States dollars. Qualifying shareholders will receive their dividend in Hong Kong dollars unless written requests for payment in United States dollars are received in accordance with the procedures separately announced by the Company on 12 November 2008.
Hutchison Telecom's shares will be quoted ex-dividend on the Hong Kong Stock Exchange on 25 November 2008 while the ADSs will be quoted ex-dividend on the New York Stock Exchange on 3 December 2008 (New York time).
Hutchison Telecom's Hong Kong register of members will be closed on 27 November 2008 and 28 November 2008, during which period no transfer of shares, no exchange of shares into ADSs or ADSs into shares will be registered.
Note: The Company will announce on 28 November 2008 the forward Hong Kong dollars to United States dollars exchange rate to 2 December 2008, the proposed date for payment of the special cash dividend.
About Hutchison Telecommunications International Limited
Hutchison Telecommunications International Limited ('Hutchison Telecom' or 'the Group') is a leading global provider of telecommunications services. The Group currently offers mobile and fixed-line telecommunication services in Hong Kong and Israel, and operates mobile telecommunications services in Macau, Indonesia, Vietnam, Sri Lanka and Thailand. It was the first provider of 3G mobile services in Hong Kong and Israel and operates brands including "Hutch", "3" and "Orange".
Hutchison Telecom is a listed company with American Depositary Shares quoted on the New York Stock Exchange under the ticker HTX and shares listed on the Stock Exchange of Hong Kong under the stock code 2332. A subsidiary of the Hong Kong-based Hutchison Whampoa Group, Hutchison Telecom is dedicated to providing superior telecommunications services in dynamic markets. For more information about Hutchison Telecom, see http://www.htil.com .
This press release contains forward-looking statements. Statements that are not historical facts, including statements about the beliefs and expectations of Hutchison Telecommunications International Limited ('the Company'), are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore you should not place undue reliance on them. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update publicly any of them in light of new information or future events. Forward-looking statements involve inherent risks, uncertainties and assumptions. The Company cautions you that if these risks or uncertainties ever materialise or the assumptions prove incorrect, or if a number of important factors occur or do not occur, the Company's actual results may differ materially from those expressed or implied in any forward-looking statement. Additional information as to factors that may cause actual results to differ materially from the Company's forward-looking statements can be found in the Company's filings with the United States Securities and Exchange Commission.