The conglomerate owned by Hong Kong's richest man is selling its fixed-line telecommunications business for $1.86 billion, the latest in series of deals for the sprawling firm.
CK Hutchison Holdings Ltd. is selling the telecom business to the New York-based private-equity firm I Squared Capital. The business, called Hutchison Global Communications Investment Holdings Ltd., provides services to carriers and other businesses in Hong Kong.
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It is the latest transaction for Hong Kong billionaire Li Ka-shing, CK Hutchison's well-known owner. Last week, a joint venture backed by the tycoon agreed to acquire Germany's Ista International GmbH, a maker of metering equipment used by property managers and homeowners. A sale price wasn't disclosed but the deal valued Ista at about 4.5 billion euros ($5.3 billion).
Earlier this year, a separate unit of CK Hutchison won approval from the Australian government to acquire local utility Duet Group for 7.3 billion Australian dollars ($5.5 billion).
The deal comes at a time of transition for Mr. Li. The Wall Street Journal reported in June that Mr. Li has told associates he will step down next year, and his companies have faced increasing competition from mainland competitors.
I Squared Capital said its purchase of the telecom business from CK Hutchison will help the Hong Kong company "develop new solutions to meet the ever-increasing demand for high-speed information infrastructure throughout the region and beyond," according to a statement on the purchase.
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(END) Dow Jones Newswires
July 30, 2017 11:41 ET (15:41 GMT)